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M CD Assume a life insurance company sells 100,000 one-year term life policy paying $100,000 to beneficiaries of thirty-year-old males. According to the Mortality Table,
M CD Assume a life insurance company sells 100,000 one-year term life policy paying $100,000 to beneficiaries of thirty-year-old males. According to the Mortality Table, the probability of death within one year for thirty-year-old males is 0.001428. What shall be the break-even insurance premium per $100,000 policy charged by the insurer? Assume the interest rate is 6% per annum with semiannual compounding and premiums are paid once a year at the beginning of the year. Assume the payout occurs halfway through the year. Select one: a $14.28 b. $152.90 c $142.8 d. $138.64 e $148.45 Activate Windows Colonosco
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