7 For a whole life insurance of 1000 on (x) payable at the end of the year of death:(a) 4. =0.045 and q+1 = 0.062%3D(b) v = 0.92(c) Ag+2 0.4523%3DCalculate the change in the expected present value of this insurance if q,+1 is doubled.

Given qx=0.045 and qx+1=0.062 v=0.92 Ax+2=0.4523

For a whole life insurance of 1000 on (x) payable at the end of the year of death: (a) 9z = 0.045 and q+1 = 0.062 (b) v = 0.92 (c) Az+2 0.4523 Calculate the change in the expected present value of this insurance if q,+1 is doubled.

For a whole life insurance of 1000 on (x) payable at the end of the year of death: (a) 9z = 0.045 and q+1 = 0.062 (b) v = 0.92 (c) Az+2 0.4523 Calculate the change in the expected present value of this insurance if q,+1 is doubled.

College Algebra

7th Edition

ISBN:9781305115545

Author:James Stewart, Lothar Redlin, Saleem Watson

Publisher:James Stewart, Lothar Redlin, Saleem Watson

Chapter8: Sequences And Series

Section8.4: Mathematics Of Finance

Problem 2E

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Question

For a whole life insurance of 1000 on (x) payable at the end of the year of death:
(a) 4. =
0.045 and q+1 = 0.062
%3D
(b) v = 0.92
(c) Ag+2 0.4523
%3D
Calculate the change in the expected present value of this insurance if q,+1 is doubled.

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