Read the following and answer questions 18 to 20. Consider a group of 10,000 75-year-old clients. Suppose an insurance company starts to pay each of them a retirement benefit of $80, 000 at the beginning of each year and until death. Assume the annual interest rate S = 0.04. Use the illustrative table for all actuarial characteristics needed. Be careful in calculations, this is for automatic grading. Advice: 1. Use a correct formula for v as a function of o. It is not 1 - 5. 2. A good idea is to use symbols up to the very end, and only then to plug in particular numbers. 3. Compute the answers for a unit of money and involve $80, 000 at the very end.) 4. Rounding "long" numbers may lead to slight different answers; so, select the answers closest to what you got. Question 18 2 pts What is the APV per one dollar of benefit for each participant? O 0.6414615 9.143927 438.88263 10.89094 Question 19 4 pts What is the standard deviation of the present value per one dollar of the benefit for each participant? O 4.2223057 O 4.49978467372 O 17.8278654 4.13897436 O 0.27409774 Question 20 6 pts Using normal approximation, estimate the initial reserve the company should have in order to fulfill its obligation without adding any money to the reserve in the future with a probability of 0.975. Round the answer to the closest integer, use the approximation q.975,s ~ 1.96. 6672238010 6675008840 73540610502 7259576057 7381347353