the answer is B

Duta for Question 20 (3 points) Smith (age 65) owns a life insurance policy with a face ansount of $300,000. Smith has paid for this life insurance policy and there are no additional premiuns doe. The insurance company offers Smith a one-time option to convert this insurance policy to an actaarially-equivalent single life anmaity, valaed at 5.00%, with paynents at the end of each year. Selected value based on an interest nte of 5.00% per year, compounded annually: A15=0.3963 X m the anmal amount Smith will receive if Smith agrees to convert this policy. Question 20 In what range is X ? (A) Less than $10,000 (B) $10,000 but less than $10,500 (C) \$10,500 but less than $11,000 (D) \$11,000 but less than $11,$00 (E) $11,500 or more