You are given:

(i) kV A is the net reserve at the end of year k for Insurance A, which is a fully discrete 20-payment, 30-year term insurance on (x).

(ii) kV B is the net reserve at the end of year k for Insurance B, which is a fully discrete 30-year term insurance on (x).

(iii) For Insurances A and B, the death benefit for year k is 100,000 plus the net premium reserve at the end of year k.

(iv) The annual net premium for Insurance B is 2400.

(v) 20V A 20V B = 35, 420

(vi) i = 0.06

Calculate 21V A 21V B Answer: 35,000