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6. (10 points) A 20 year deferred five year life insurance policy will pay 500,000 at the end of month of death. Mortality follows De
6. (10 points) A 20 year deferred five year life insurance policy will pay 500,000 at the end of month of death. Mortality follows De Moivre's Law with terminal age =120. The policy is issued to a person age (80). If the nominal interest rate convertible monthly is i, the actuarial present value for the life insurance is 24334.60531. An amount of 30,000 is deposited into a fund earning interest at a nominal interest rate of i convertible monthly. Find the probability that the fund is enough to cover the one enrollee age (80)
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