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Please don't answer 0 in part C. Please answer according to the answer key If You don't get the answer equals to the answer key
Please don't answer 0 in part C. Please answer according to the answer key
If You don't get the answer equals to the answer key please don't answer it
4. A fully continuous whole life insurance with unit benefit has a level premium. The time-until-death random variable, T(x), has an exponential distribution with E[T(x)]=50 and the force of interest is =0.06. a. If the principle of equivalence is used, find the benefit premium rate. b. Find the premium rate if it is to be such that Pr(L>0)=0.50. c. Repeat part (b) if the force of interest, , equals 0 . 6.4. a. 0.02 b. 0.00857 c. 0.02885 4. A fully continuous whole life insurance with unit benefit has a level premium. The time-until-death random variable, T(x), has an exponential distribution with E[T(x)]=50 and the force of interest is =0.06. a. If the principle of equivalence is used, find the benefit premium rate. b. Find the premium rate if it is to be such that Pr(L>0)=0.50. c. Repeat part (b) if the force of interest, , equals 0 . 6.4. a. 0.02 b. 0.00857 c. 0.02885Step by Step Solution
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