Calculate the cash surrender value for Lee Chin, age 42, who purchased a $200,000 straight-life policy. At the end of year 20, Lee stopped paying premiums. (Use Table 20.2.) Cash surrender value
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- Calculate the cash surrender value for Lee Chin, age 43, who purchased a $340,000 20-year endowment policy. At the end of year 10, Lee stopped paying premiums. (Use Table 20 2) Cash surrender value TABLE 20-2 Nonforfelture options based on $1,000 face value STRAIGHT LIFE 20-PAYMENT LIFE 20-YEAR ENDOWMENT Years EXTENDED EXTENDED TERM EXTENDED Insurance Amount of TERM Amount of Amount of TERM policy in force Cash pald-up Cash value pald-up Cash pald-up value Insurance Years Day Years Day Insurance value Insurance Years Day 15 29 86 91 71 220 19 190 92 229 23 140 10 96 259 18 76 186 521 28 195 319 520 30 160 15 148 371 20 165 317 781 32 176 6.10 790 35 300 20 265 550 21 300 475 1,000 Life 1.000 1,000 Life Option 1: Cash value Option 2: Reduced pald-up insurance $200,000 $1.000 Option 3: Extended term insurance $200.000 200 x $148 $29.600 = 200 x $371 = $74.200 Bob could continue this $200.000 policy for 20 years iand 165 days $1.000Use the given table. Cindy started a whole-life insurance policy for $255,000 when she was 23 years old. At age 50, the policy has a cash value of $12,505 and Cindy converts the policy to extended term insurance for the same face value. Use 20-year level term rates to estimate the number of years of extended term insurance she has. Use a non-tobacco rate. E Click the icon to view the data table. Cindy has years of extended term insurance. (Do not round until the final answer. Then round to two decimal places as needed.)Jacqueline purchased an interest-bearing promissory note for $13,000.00 at 3.00% p.a., due in 120 days. If she sold the note in 48 days by discounting it at 4.00% p.a., calculate the proceeds of the note.
- Use the given table. Parker's $250,000 whole-life insurance policy has a cash value of $11,286. Parker is 60 years old, female, smokes, and is converting to an extended term policy for the same face value. Use 10-year level term rates to estimate the number of years of extended term insurance she has. Click the icon to view the data table. Parker has years of extended term insurance. (Do not round until the final answer. Then round to two decimal places as needed.)You have a $100,000 participating cash-value policy written on your life. The policy has accumulated $4,700 in cash value and you have borrowed $6,000 of this value. The policy also has accumulated unpaid dividend of $1,666. Yesterday you paid your premium of $1,200 for the coming year. What is the current death benefit from this policy? $96,866 $0 $93,866 $99,8661. Cameron designates 10% of his monthly earnings as charitable contributions. After deducting this amount, he deposits 5% of the remaining amount into a money market account earning 2%. If Cameron's monthly earnings are $4,800 what amount interest will he earn on his deposit each month? 2. Find the maturity value for a loan on $4,225 at 8% made on March 5 and due on May 5 of the same year. Assume a 365-day year. 3. Republic Bank advertises their interest rates at 7 % %. You decide to apply for a loan in the amount of $9,000 for 90 days. The bank grants your loan and the loan officer tells you that there is a document preparation fee of $150 that needs to be paid at the time you sign the documents for the loan. Find the APR. Assume a 360-day year. 4. You took out a loan of $5,000 on May 2 and went back on June 15 to make a payment of $1,200. The loan was at 4% for 1 year. What was your remaining balance after making that payment?
- A parent on the day the child is born wishes to determine what lump sum would have to be paid into an account annually, in order to withdraw Php 20,000 each on the child’s 18th, 19th, 20th and 21st birthdays. Use 4% Show complete solution.Stéphanie visited a financial institution and signed a 10-year, non-interest-bearing promissory note for $6000. She intends to give this to her son William, to partly fund his education. Due to unforeseen circumstances, the note is purchased after only 25 months at 2.15% compounded quarterly. What is the selling price of the note (i.e. the proceeds)? a. $5920.13 b. $5737.87 c. $5063.24 d. $5247.46Interest Earned. On June 1, Mia deposited $5,500 in an MMDA that pays 3% interest. On October 31, Mia invested $1,400 in a three-month CD that pays 2.99%. At the end of the year, how much interest will Mia have earned, assuming she hasn't taken anything out of the money market deposit account? Assuming she hasn't taken anything out of the money market deposit account, the amount of interest Mia will have earned is $___________
