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. You are given the following extract from a select life table with four-year select period. A select individual aged 40 purchased a four-year term
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You are given the following extract from a select life table with four-year select period. A select individual aged 40 purchased a four-year term insurance sum insured of $200,000 (payable at the end of the year of death, if death occurs within the term), with premiums payable annually throughout the term 1[x]+2 [[x]+3 x+4 x +4 [40] 100 000 99899 99 724 99 520 [41] 99 802 99 689 99 502 99 283 [42] 99 597 99 471 99 628 99030 99 288 99 033 98 752 44 45 46 The basis for the calculations is an effective rate of interest of 6% per year, and no expenses A. Find the premium for the term insurance P= Round answer to 2 digits. B Calculate the mean of the present value of future loss random variable L1, for the term insurance. E(L1)= __ Round answer to 2 digits. You are given the following extract from a select life table with four-year select period. A select individual aged 40 purchased a four-year term insurance sum insured of $200,000 (payable at the end of the year of death, if death occurs within the term), with premiums payable annually throughout the term 1[x]+2 [[x]+3 x+4 x +4 [40] 100 000 99899 99 724 99 520 [41] 99 802 99 689 99 502 99 283 [42] 99 597 99 471 99 628 99030 99 288 99 033 98 752 44 45 46 The basis for the calculations is an effective rate of interest of 6% per year, and no expenses A. Find the premium for the term insurance P= Round answer to 2 digits. B Calculate the mean of the present value of future loss random variable L1, for the term insurance. E(L1)= __ Round answer to 2 digitsStep by Step Solution
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