Suppose you are 40 and have a $65,000 face amount, 10-year, limited-payment, participating policy (dividends will be used to build up the cash value of the policy). Your annual premium is $585. The cash value of the policy is expected to be $2,600 in 10 years. Using time value of money and assuming you could invest your money elsewhere for a 6 percent annual yield, calculate the net cost of insurance. Use Exhibit 1-8. (Do not round intermediate calculations. Round time value factor to 3 decimal places and final answer to the nearest whole number.) II JORETISTE CERIE 100 0-700 LUNA SS CON MONI CHI HADI STS 2110 10 GO 0 ON RA SKI 1 100 COO WE 201 SO 170 O CEGO JOO LAN THE TAL 20 DI SI T OM SOU WE listre LE FRETE STORE KUR CORTE GER 21.12 Icoone LEGE HO MO RECE HOT LAR HT 10.00 TA WORSE SO OR UL TI 100 TOODE TOOS SPOO TO SI 1 GOT OS 5000 0.00 00 00011 160 2200 1.000 OS 0001 NIE DO 170 1.000 091 OSE QUE 100 10% 30 MIT 10 ADOR OLEV 40099 TRO COOR ACCO ME NOW 152007 050 TO 10 66 OROD OY DCORE OL CAP 50 70 30 CORE TO 09LIS TOA DO CO OP 90CC ULOG CLB 45.5 GOS GE 066 OOR 19 SOSE DUTOS LCOME LAGU SICS ROS 000 OS LOG SUS ON OSO COM AC O SAL RASH VR LES RE LAR OGS OSAC PZO WAOC CODE OTO 9 KA COVI VODE COCO KOT OOST 61 CE LOST LOVE KV STO GODT 900 OSE CORO LORE IRCOS D1 CECE F1 2 19,561 10,22 CASE KOSTI COOL 900 COS OR TRACT LOTT L6816 2230 19 20 13 71702 20012 1050 27. 251 231270 21:57 T6097 15 >> 550 10 20141 15 000 20.141 TO 17. 16167 17.00 10.645 15/ 147972 1447 13 01 10 11102 10159 9.300 9 10.637 10,260 8.654 090 2 6875 6.460 6:30 0.152 56657 38300 5.200 51101 40122 300 2.000 2.040 1000 1.000 1.000 7% 40 356 150 Period Exhibit 1-8 Future value (compounded sum) of $1 paid in at the end of each period for a given number of time periods (an annuity) SOO ISSA 11.40 OSO 299 DEX 9.703 1913 6.220 4./10 0076 CS ISAS CZE 012 COTO TO OICE 268 CE 400'S 1906 CS USAS OPE DIS SLC CELE OISE ESTIC OSO 0001 LOONS 00012 2.100 Ozon OIL 000"T 00012 000T 0902 000't LOGO 0107 00011 OO 0001 1.000 000 T Suppose you are 40 and have a $65,000 face amount, 10-year, limited-payment, participating policy (dividends will be used to build up the cash value of the policy). Your annual premium is $585. The cash value of the policy is expected to be $2,600 in 10 years. Using time value of money and assuming you could invest your money elsewhere for a 6 percent annual yield, calculate the net cost of insurance. Use Exhibit 1-8. (Do not round intermediate calculations. Round time value factor to 3 decimal places and final answer to the nearest whole number.) II JORETISTE CERIE 100 0-700 LUNA SS CON MONI CHI HADI STS 2110 10 GO 0 ON RA SKI 1 100 COO WE 201 SO 170 O CEGO JOO LAN THE TAL 20 DI SI T OM SOU WE listre LE FRETE STORE KUR CORTE GER 21.12 Icoone LEGE HO MO RECE HOT LAR HT 10.00 TA WORSE SO OR UL TI 100 TOODE TOOS SPOO TO SI 1 GOT OS 5000 0.00 00 00011 160 2200 1.000 OS 0001 NIE DO 170 1.000 091 OSE QUE 100 10% 30 MIT 10 ADOR OLEV 40099 TRO COOR ACCO ME NOW 152007 050 TO 10 66 OROD OY DCORE OL CAP 50 70 30 CORE TO 09LIS TOA DO CO OP 90CC ULOG CLB 45.5 GOS GE 066 OOR 19 SOSE DUTOS LCOME LAGU SICS ROS 000 OS LOG SUS ON OSO COM AC O SAL RASH VR LES RE LAR OGS OSAC PZO WAOC CODE OTO 9 KA COVI VODE COCO KOT OOST 61 CE LOST LOVE KV STO GODT 900 OSE CORO LORE IRCOS D1 CECE F1 2 19,561 10,22 CASE KOSTI COOL 900 COS OR TRACT LOTT L6816 2230 19 20 13 71702 20012 1050 27. 251 231270 21:57 T6097 15 >> 550 10 20141 15 000 20.141 TO 17. 16167 17.00 10.645 15/ 147972 1447 13 01 10 11102 10159 9.300 9 10.637 10,260 8.654 090 2 6875 6.460 6:30 0.152 56657 38300 5.200 51101 40122 300 2.000 2.040 1000 1.000 1.000 7% 40 356 150 Period Exhibit 1-8 Future value (compounded sum) of $1 paid in at the end of each period for a given number of time periods (an annuity) SOO ISSA 11.40 OSO 299 DEX 9.703 1913 6.220 4./10 0076 CS ISAS CZE 012 COTO TO OICE 268 CE 400'S 1906 CS USAS OPE DIS SLC CELE OISE ESTIC OSO 0001 LOONS 00012 2.100 Ozon OIL 000"T 00012 000T 0902 000't LOGO 0107 00011 OO 0001 1.000 000 T