You are given the following three-decrement service table for modeling employment X lx 60 10,000 300 150 25 61 9,525 360 120 50 62 8,995 390 115 75 (i) Calculate 3p% and 2P61- 00 (ii) Calculate the EPV of a benefit of $10,000 payable at the end of the year of exit, if a life aged 60 leaves by decrement 3 before age 63. Use an effective rate of interest of 4% per year. (iii) Calculate the EPV of an annuity of $1,000 per year payable at the start of each of the next three years if a life currently aged 60 remains in service. Use an effective rate of interest of 4% per year *(1) (iv) Calculate q2, assuming a constant force of transition for each decrement. *(1) (v) Calculate the revised service table for age 62 (i.e. the value of d for i = 1, 2, 3) if 96 is increased to 0.1 with the other independent rates (96), q6)) remaining unchanged. *(2) You should also assume a constant force of transition for each decrement. L 56 2 You are given the following three-decrement service table for modeling employment X lx 60 10,000 300 150 25 61 9,525 360 120 50 62 8,995 390 115 75 (i) Calculate 3p% and 2P61- 00 (ii) Calculate the EPV of a benefit of $10,000 payable at the end of the year of exit, if a life aged 60 leaves by decrement 3 before age 63. Use an effective rate of interest of 4% per year. (iii) Calculate the EPV of an annuity of $1,000 per year payable at the start of each of the next three years if a life currently aged 60 remains in service. Use an effective rate of interest of 4% per year *(1) (iv) Calculate q2, assuming a constant force of transition for each decrement. *(1) (v) Calculate the revised service table for age 62 (i.e. the value of d for i = 1, 2, 3) if 96 is increased to 0.1 with the other independent rates (96), q6)) remaining unchanged. *(2) You should also assume a constant force of transition for each decrement. L 56 2