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For a special fully discrete 3-year term insurance on (x): (i) The death benefit payable at the end of year k + 1 is
For a special fully discrete 3-year term insurance on (x): (i) The death benefit payable at the end of year k + 1 is (ii) 9x+k 0 0.200 1 0.100 2 0.097 bk+1= ={1,000(11- 1,000(11-k) for k = 0 for k = 1,2 (iii) i = 0.06 Calculate the level annual net premium for this insurance. (A) 518 (B) 549 (C) 638 (D) 732 (E) 799
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Financial Institutions Management A Risk Management Approach
Authors: Marcia Cornett, Patricia McGraw, Anthony Saunders
8th edition
978-0078034800, 78034809, 978-0071051590
