Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

3) (13 marks) You are given i = 5% and the following values: 9x SEX 10EX 20EX 45 0.35994 17.8162 50 0.60182 0.34824 17.0245 55

image text in transcribed

3) (13 marks) You are given i = 5% and the following values: 9x SEX 10EX 20EX 45 0.35994 17.8162 50 0.60182 0.34824 17.0245 55 0.77382 0.59342 0.32819 16.0599 600.00340 0.76687 0.57864 0.29508 14.9041 61 0.00379 62 0.00423 8.0751 8.0550 8.0192 7.9555 a) (4 marks) A person aged 63 purchases a whole life annuity paying $24,000 at the end of each year. What is the net single premium (NSP) of this annuity? b) (2 marks) A person aged 50 purchases a 20-year temporary life annuity paying $10,000 at the beginning of each year. What is the NSP of this annuity? c) (3 marks) A person aged 55 pays $500,000 to purchase a whole life annuity that pays $R at the beginning of each year. The first 5 payments are guaranteed. Calculate $R. d) (4 marks) Calculate 10,000 asta 3) (13 marks) You are given i = 5% and the following values: 9x SEX 10EX 20EX 45 0.35994 17.8162 50 0.60182 0.34824 17.0245 55 0.77382 0.59342 0.32819 16.0599 600.00340 0.76687 0.57864 0.29508 14.9041 61 0.00379 62 0.00423 8.0751 8.0550 8.0192 7.9555 a) (4 marks) A person aged 63 purchases a whole life annuity paying $24,000 at the end of each year. What is the net single premium (NSP) of this annuity? b) (2 marks) A person aged 50 purchases a 20-year temporary life annuity paying $10,000 at the beginning of each year. What is the NSP of this annuity? c) (3 marks) A person aged 55 pays $500,000 to purchase a whole life annuity that pays $R at the beginning of each year. The first 5 payments are guaranteed. Calculate $R. d) (4 marks) Calculate 10,000 asta

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Auditing Information Systems

Authors: Jack J. Champlain

2nd Edition

0471281174, 978-0471281177

More Books

Students also viewed these Accounting questions

Question

Identify conflict triggers in yourself and others

Answered: 1 week ago