For a special decreasing whole life insurance on (50), you are given:I. Z is the present value random variable for the death benefits.II. Mortality follows Standard Ultimate Life Table.III. The following death benefits, payable at the end of the year of death:kbr+10 - 95,00010 - 193,00020+2,000IV. i = 0.05Calculate E[Z].-

Given i=0.05 k bk+1 0-9 5000 10-19 3000 20+ 2000

Answered: For a special decreasing whole life…

MATLAB: An Introduction with Applications

6th Edition

ISBN:9781119256830

Author:Amos Gilat

Publisher:Amos Gilat

Chapter1: Starting With Matlab

Section: Chapter Questions

Problem 1P

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4. When the Titanic sank in 1912, there were over 1,300 passengers aboard. A random sample of 50 passengers that were aboard is taken. The amount they paid for the voyage and whether or not they survived is recorded. A model is fit to predict the probability they survived when the ship sank is obtained. Survived Logistic Fit of Survived By Fare 1.00 0.75 0.50- 0.25- 50 4 Parameter Estimates 100 Term Intercept -1.404254 0.4353289 Fare 0.01246686 0.0097945 For log odds of Yes/No Fare Estimate Std Error ChiSquare 10.41 1.62 150 200 Prob>ChiSq 0.0013* 0.2031 No Yes a) Suppose someone paid a fare of 25 pounds. Predict the probability they survived. b) How much would someone pay to have at least a 65% chance of survival?
True or False? Assume the below life table was constructed from following individuals who were diagnosed with slow-progressing form of prostate cancer and decided not to receive treatment of any form. The calculated survival probability for year 3, if the Kaplan-Meir approach is used to calculate the survival probability, is approximately 0.85. Time in Years Number at Risk, Nt Number of Deaths, Dt Number Censored, Ct Survival Probability0 20 11 20 3 2 17 1 3 16 2 1
1. ABC inc. stock is currently selling for $30, one year from today the stock price can either increase by 20% or decrease by 15%. The probability of an increase in the stock price is equal to 0.3. The one-year risk-free rate is 5% What is the value of a European put that expires in one year with an exercise price of $24. 2. Graphically, show the value and the profit and loss of the following butterfly position: Long in a call with an exercise price of $30, short in 2 calls with an exercise price of $45, and long in a call with an exercise price of 60. All calls are written on the same stock and have the same maturity. 3. "Early exercise of an American option on a stock that does not pay any dividend is not optimal regardless of whether the option is a Call or a Put". True, False, or Uncertain. Explain.
What is the odds ratio for a study with a logistic regression coefficient of -0.2524? a) 0.78 b) 1.00 c) -0.78 d) -2524
4. When the Titanic sank in 1912, there were over 1,300 passengers aboard. A random sample of 50 passengers that were aboard is taken. The amount they paid for the voyage and whether or not they survived is recorded. A model is fit to predict the probability they survived when the ship sank is obtained. Survived Logistic Fit of Survived By Fare 1.00 0.75 0.50- 0.25- 50 4 Parameter Estimates 100 Term Intercept -1.404254 0.4353289 Fare 0.01246686 0.0097945 For log odds of Yes/No Fare Estimate Std Error ChiSquare 10.41 1.62 150 200 Prob> ChiSq 0.0013 0.2031 No Yes a) Suppose someone paid a fare of 25 pounds. Predict the probability they survived. b) How much would someone pay to have at least a 65% chance of survival?
4. As fallen trees lie on the forest floor they slowly decay. Will the amount of light present have an impact on the rate of decay? In the following table x is a random variable representing the remaining percentage of total mass of a log after it was exposed to the elements for three weeks while y represents the numbers of hours of direct sunlight the log received each day. X 0.60 .70 .65 .82 .87 y 1.0 2.3 3.0 4.0 4.5 (a) Plot a scatter diagram of the data. Remember to label your axes appropriately and choose a consistent scale. (b) Based on a scatter diagram, would you estimate the correlation coefficient to be positive, close to zero, or negative? Please circle one of the following choices: A. Positive B. Close to zero C. Negative (c) Interpret your results from parts (a) and (b). 16 tv
3. Show your complete solution.
4a.) Draw the graphs. Round your final answers up to 6 decimal places, if applicable. Give the correct units.
Define on empirical way and a statistical way to choose the best forecasting model for your time series data. Consider the following situations: 1. The data has no trend or seasonality 2. The data has trend but not seasonality 3. The data presents trend and seasonality but negligible noise 4. The data presents trend, seasonality and significant noise.
Consider the rate of return of stocks ABC and XYZ. Year 1 2 SAWN T 3 4 5 FABC 24% 10 17 4 1 ABC XYZ a. Calculate the arithmetic average return on these stocks over the sample period. (Round your answers to 2 decimal places.) rxyz 34% 12 18 1 -9 Arithmetic Average ABC XYZ % % b. Which stock has greater dispersion around the mean return?

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