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For a special whole life insurance on (x), payable at the moment of death: i. flæ+t= 0.05, t > 0 ii. 8 = 0.08 iii. The death benefit at time t is b = e0.06t, t > 0. iv. Z is the present value random variable for this insurance at issue. Calculate Var (Z).

For a special whole life insurance on (x), payable at the moment of death: i. flæ+t= 0.05, t > 0 ii. 8 = 0.08 iii. The death benefit at time t is b = e0.06t, t > 0. iv. Z is the present value random variable for this insurance at issue. Calculate Var (Z).

MATLAB: An Introduction with Applications
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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For a special whole life insurance on \( x \), payable at the moment of death: i. \(\mu_{x+t} = 0.05, \, t > 0\) ii. \(\delta = 0.08\) iii. The death benefit at time \( t \) is \( b_t = e^{0.06t}, \, t > 0\). iv. \( Z \) is the present value random variable for this insurance at issue. Calculate \( \text{Var}(Z) \). **Options:** A. 0.038 B. 0.041 C. 0.043 D. 0.045 E. 0.048 There are no graphs or diagrams included. This is a multiple-choice problem exploring concepts in actuarial science, particularly related to life insurance and present value calculations.
Transcribed Image Text:For a special whole life insurance on \( x \), payable at the moment of death: i. \(\mu_{x+t} = 0.05, \, t > 0\) ii. \(\delta = 0.08\) iii. The death benefit at time \( t \) is \( b_t = e^{0.06t}, \, t > 0\). iv. \( Z \) is the present value random variable for this insurance at issue. Calculate \( \text{Var}(Z) \). **Options:** A. 0.038 B. 0.041 C. 0.043 D. 0.045 E. 0.048 There are no graphs or diagrams included. This is a multiple-choice problem exploring concepts in actuarial science, particularly related to life insurance and present value calculations.
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