(e) Show that 962 = 0.04292, assuming a constant force of decrement for each decrement. *(1) (f) Calculate the revised service table for age 62 if 962 is increased to 0.1, with the other independent rates remaining unchanged. Use (i) the constant force assumption, and (ii) UDD in the single decrement models assumption.
(e) Show that 962 = 0.04292, assuming a constant force of decrement for each decrement. *(1) (f) Calculate the revised service table for age 62 if 962 is increased to 0.1, with the other independent rates remaining unchanged. Use (i) the constant force assumption, and (ii) UDD in the single decrement models assumption.
MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
Problem 1P
Related questions
Question
Please do question 9.13e and 9.13f with handwritten working out. Answers and questions are in separate images
Transcribed Image Text:Exercise 9.13 You are given the following three-decrement service table for
modelling employment.
X
60
61
62
₂01
(a) Calculate 3P60*
00
(b) Calculate 2p1.
lx
10 000
9 475
8 945
d(¹)
350
360
380
150
125
110
d(3)
25
45
70
(c) Calculate the EPV of a benefit of $10000 payable at the end of the year of
exit, if a life aged 60 leaves by decrement 3 before age 63. Use an effective
rate of interest of 5% per year.
(d) Calculate the EPV of an annuity of $1000 per year payable at the start of
each of the next 3 years if a life currently aged 60 remains in service. Use
an effective rate of interest of 5% per year.
*(1)
(e) Show that q = 0.04292, assuming a constant force of decrement for
each decrement.
_*(1)
(f) Calculate the revised service table for age 62 if 962 is increased to
0.1, with the other independent rates remaining unchanged. Use (i) the
constant force assumption, and (ii) UDD in the single decrement models
assumption.
Transcribed Image Text:9.13 (a) 0.109 (b) 0.8850 (c) $125.09 (d) $2713.72
(f)(i) 885.4, 106.7, 67.9 (ii) 885.3, 106.8, 68.0
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps with 2 images
Recommended textbooks for you
MATLAB: An Introduction with Applications
Statistics
ISBN:
9781119256830
Author:
Amos Gilat
Publisher:
John Wiley & Sons Inc
Probability and Statistics for Engineering and th…
Statistics
ISBN:
9781305251809
Author:
Jay L. Devore
Publisher:
Cengage Learning
Statistics for The Behavioral Sciences (MindTap C…
Statistics
ISBN:
9781305504912
Author:
Frederick J Gravetter, Larry B. Wallnau
Publisher:
Cengage Learning
MATLAB: An Introduction with Applications
Statistics
ISBN:
9781119256830
Author:
Amos Gilat
Publisher:
John Wiley & Sons Inc
Probability and Statistics for Engineering and th…
Statistics
ISBN:
9781305251809
Author:
Jay L. Devore
Publisher:
Cengage Learning
Statistics for The Behavioral Sciences (MindTap C…
Statistics
ISBN:
9781305504912
Author:
Frederick J Gravetter, Larry B. Wallnau
Publisher:
Cengage Learning
Elementary Statistics: Picturing the World (7th E…
Statistics
ISBN:
9780134683416
Author:
Ron Larson, Betsy Farber
Publisher:
PEARSON
The Basic Practice of Statistics
Statistics
ISBN:
9781319042578
Author:
David S. Moore, William I. Notz, Michael A. Fligner
Publisher:
W. H. Freeman
Introduction to the Practice of Statistics
Statistics
ISBN:
9781319013387
Author:
David S. Moore, George P. McCabe, Bruce A. Craig
Publisher:
W. H. Freeman