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For 100 people entering an assisted-living facility, you are given the following: Residents leave the facility each year either by (1) death or (2) all
For 100 people entering an assisted-living facility, you are given the following: Residents leave the facility each year either by (1) death or (2) all other reasons
2 For 100 people entering an assisted living facility, you are given the following: Residents leave the facility each year either by (1) death or (2) all other reasons. # of Residents Leaving Due to Cause Year (2) 14 17 (1) 21 23 A room deposit of $1,000 is returned to the resident if that person leaves the facility before death. The return is made at the end of the year of departure. The interest rate is 5%. Calculate the actuarial present value of the deposit return for a person who has lived at the facility for 2 years. A) 75.89B) 78.42C) 83.33 D) 86.12 E) 94.95 Select one: A. 75.89 B. 78.42 Ooooo C. 83.33 D. 86.12 E. 94.95Step by Step Solution
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