Author Question: A client, age 25, is considering purchasing a 20-payment life policy with annual payments. He wants ... (Read 84 times)

RODY.ELKHALIL

  • Hero Member
  • *****
  • Posts: 591
A client, age 25, is considering purchasing a 20-payment life policy with annual payments. He wants to know how much more he will have paid the insurance company in premiums per 1,00 . coverage during the 20-year period than he can borrow on the policy at the end of the 20 years. Compute how much more the client will have to pay per thousand.

Question 2

An insured 25 year old purchased a 50,000 . 20-year endowment policy with quarterly premiums. Ten years later he needed the maximum loan available on the policy. How much more had the insured paid in premiums than he could borrow on the policy?



mceravolo

  • Sr. Member
  • ****
  • Posts: 349
Answer to Question 1

72 per thousand more

Answer to Question 2

8,050
(14.30  50  4  10) - (411  50)



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Human kidneys will clean about 1 million gallons of blood in an average lifetime.

Did you know?

The shortest mature adult human of whom there is independent evidence was Gul Mohammed in India. In 1990, he was measured in New Delhi and stood 22.5 inches tall.

Did you know?

One way to reduce acid reflux is to lose two or three pounds. Most people lose weight in the belly area first when they increase exercise, meaning that heartburn can be reduced quickly by this method.

Did you know?

Cancer has been around as long as humankind, but only in the second half of the twentieth century did the number of cancer cases explode.

Did you know?

Increased intake of vitamin D has been shown to reduce fractures up to 25% in older people.

For a complete list of videos, visit our video library