Calculate the reduced paid-up insurance for Lee Chin, age 41, who purchased a $410,000 straight life policy. At the end of year 5, Lee stopped paying premiums. (Use Table 20.2.) Reduced paid up insurance TABLE 20-2 Nonforfelture options based on 51.000 face value Years Insurance policy in force value 5 10 15 20 STRAIGHT LIFE EXTENDED Amount of TERM Cash pald-up Insurance Years Day 20 86 9 91 96 259 18 76 148 371 20 165 265 550 21 300 Option 1: Cash value $200.000 200 x $145 = $29.000 $1.000 20-PAYMENT LIFE 20-YEAR ENDOWMENT EXTENDED EXTENDED Amount of TERM Amount of TERM Cash pald-up Cash pald-up value Insurance Years Day value Insurance Years Day 71 220 19 190 92 229 140 185 521 28 195 319 520 160 317 781 32 176 610 790 35 300 475 1.000 Life 1000 1.000 Option 2 Reduced pold-up insurance Option 3: Ectonded to insurance $200.000 200 x 5371 = 374.200 $1.000 Bob could continue this $200.000 policy for 20 yrs ond 165 & 88