Assume 4% interest, ignore expenses and (where appropriate) use the approximation for the
unharmed life annuities due compensated p-thly or continuously derived in lectures. assume select values from the A1967-70 table. Give your numerical answers to the nearest
penny.
1 (a). A man on retirement on his 65th birthday receives a lump sum of lb100, 000 which he uses to purchase a income which will be paid monthly contained by advance. Find the monthly
income he receives.
(b) John Doe take out a whole-life assurance on his 50th birthday with a sum assured oflb20,000. Find the annual premium for this assurance if premiums are to start in half a shake and to be paid on respectively birthday.
(c) Suppose that the John Dow actually died at the age of 60, so that the loss benefit was rewarded on (what would have been) his 61st birthday. Calculate the actual loss made by the
time assurance company on John Doe’s policy at the time when the benefit was compensated.
Answers: Yikes! Too far removed from the classroom to answer this question. That be so long ago. In the real world not a soul makes these kind of calculations short the use of a computer program.
unharmed life annuities due compensated p-thly or continuously derived in lectures. assume select values from the A1967-70 table. Give your numerical answers to the nearest
penny.
1 (a). A man on retirement on his 65th birthday receives a lump sum of lb100, 000 which he uses to purchase a income which will be paid monthly contained by advance. Find the monthly
income he receives.
(b) John Doe take out a whole-life assurance on his 50th birthday with a sum assured oflb20,000. Find the annual premium for this assurance if premiums are to start in half a shake and to be paid on respectively birthday.
(c) Suppose that the John Dow actually died at the age of 60, so that the loss benefit was rewarded on (what would have been) his 61st birthday. Calculate the actual loss made by the
time assurance company on John Doe’s policy at the time when the benefit was compensated.
Answers: Yikes! Too far removed from the classroom to answer this question. That be so long ago. In the real world not a soul makes these kind of calculations short the use of a computer program.