A person, age 80, purchases a whole life insurance policy of 100,000. You are given: (i) The

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A person, age 80, purchases a whole life insurance policy of 100,000. You are given:

(i) The policy is priced with a select period of one year.

(ii) The select mortality rate equals 80% of the mortality rate from the Standard Ultimate Life Table.

(iii) Ultimate mortality follows the Standard Ultimate Life Table.

(iv) i = 0.05. Calculate the actuarial present value of the death benefits for this insurance.

Related Book For answer-question

Investments An Introduction

ISBN: 978-0324561388

9th Edition

Authors: Herbert B Mayo

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Posted Date: Sep 11, 2020 01:00 AM

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A person, age 80, purchases a whole life insurance policy of 100,000. You are given: (i) The

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Investments An Introduction

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