An insurance company sells a $11,500, five-year term life insurance policy to an individual for $860. Find the expected return for the company if the probability the individual will live for the next five years is 0.96. (Round your answer to the nearest cent.)

An insurance company sells a $11,500, five-year term life insurance policy to an individual for $860. Find the expected return for the company if the probability the individual will live for the next five years is 0.96. (Round your answer to the nearest cent.)

A First Course in Probability (10th Edition)

10th Edition

ISBN:9780134753119

Author:Sheldon Ross

Publisher:Sheldon Ross

Chapter1: Combinatorial Analysis

Section: Chapter Questions

Problem 1.1P: a. How many different 7-place license plates are possible if the first 2 places are for letters and...

See similar textbooks

Similar questions

A bond was purchased on January 1, 2016 for$750. If its value increases by 8.2 % every year, howmuch will the bond be worth at the end of year 2025?
decide to deposit $96 per month into an account earning 4.8% annual interest compounded monthly. (round to the penny) If you a. How much money will the account contain in 10 years? $ b. How much money did you deposit in total over the 10 years? $
A vehicle purchased for $32500 depreciates at a constant rate of 8%. Determine the approximate value of the vehicle 14 years after purchase. Round to the nearest whole number.
You purchase a mutual fund add an offer price of $15.79 per share. If the net asset value is $15.26 find the sale charge percent. Round to the nearest tenth.
suppose your $1200 laptop depreciates 1% per week. After what week will your computer first become worth less than $250?
Your company provides a 50% matching toward your retirement. If you deposit $200 each month into a retirement account with an APR 5.99% What would you type into excel to find his balance after 40 years
An investment of $3,500 is made in an account compounded quarterly at 4.1%. How much will the investment be worth in 18 years? Number (round to the nearest cent) MacBook Pro Submit Assignment Quit & Save Back Question Menu . N
7 1/2% of $800 is $?
$1,900 was borrowed at a simple interest rate of 2.9%. What amount of interest would be owed after 6.5 years? $329.98 $358.15 $350.76 $300.14
The Cooper Foundation contributes $50,000 per year into an annuity fund for building a new zoo. The fund earns 4.5% interest. Find the amount in the fund at the end of 20 years. (Round your final answer to two decimal places.) $
what is the FV of the investment. Round to nearest cent. $7,000 for 4 years at 4.75% annual interest