Do the Math 12-3

Calculating a Death Benefit

Alexandra Cunningham of Gardner, Massachusetts, has a $130,000 participating cash-value policy written on her life. The policy has accumulated $5,000 in cash value; Alexandra has borrowed $2,800 of this value. The policy also has accumulated unpaid dividends of $1,125. Yesterday Alexandra paid her premium of $1,500 for the coming year. What is the current death benefit from this policy?

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