An inSurer Sells 6- year temporary life armuities - due of $4,00 per year to 250 lives each age 40. The annual etfective interest rate is 7% Cumui ative Probabilites for t years 48-X-t 48-X for (x) whaat is the probabilitiy thet the insurer Will pay out more than $ 15, 300,000 in Connection with this business?

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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An insurer Sells 6- year temporary
life anmuities - due of $4,000 per year
to 250 lives each age 40.
The annual etfective interest rate
is 7%
Cumul ative Probabilites tor t years
for (x)
48-X-t
48-X
whaat is the probabilitiy thet the insurer
Will pay out more than $ 15,300,000 in
Connection With this business?
Transcribed Image Text:An insurer Sells 6- year temporary life anmuities - due of $4,000 per year to 250 lives each age 40. The annual etfective interest rate is 7% Cumul ative Probabilites tor t years for (x) 48-X-t 48-X whaat is the probabilitiy thet the insurer Will pay out more than $ 15,300,000 in Connection With this business?
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