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Today is January 1,2022 . Roy will use a single premium to purchase an annuity today. This annuity pays $10,000 at the end of each
Today is January 1,2022 . Roy will use a single premium to purchase an annuity today. This annuity pays $10,000 at the end of each year while Roy is alive. The estimated probability of Roy surviving for the next 4 years is stated in following table. The yield rate is assumed to be j1= 8.64% p.a. Calculate the premium value. Round your answer to three decimal places. a. $15484.803 b. $17538.435 c. $20700.000 d. $17832.824
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