For a portfolio of fully discrete 40-year endowment insurances of 1 on independent livesage x, you are given:The premium mistakenly charged is the benefit premium for a fully discrete 40-year term insurance of 1 on (x).L is the loss-at-issue random variable for one policy.A₁ = 0.257x:40Ax:401 = 0.2682Ax:401d = 0.05By using the normal approximation, calculate the number of policies the insurer mustissue so that the probability of a positive aggregate loss on the policies issued is 95%.= 0.0745

We have consider S as the aggregate loss random variable and L as loss at issue random variableHere…

Answered: Q9. For a portfolio of fully discrete…

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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Suppose we have the following returns for large-company stocks and Treasury bills over a six-year period: Year Large-Company US Treasury Bill 1 3.97 6.59 2 14.34 4.42 3 19.23 4.29 4 −14.45 7.32 5 −31.94 5.28 6 37.47 5.38 a. Calculate the arithmetic average returns for large-company stocks and T-bills over this time period. (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) b. Calculate the standard deviation of the returns for large-company stocks and T-bills over this time period. (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) c-1. Calculate the observed risk premium in each year for the large-company stocks versus the T-bills. What was the arithmetic average risk premium over this period? (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answer…
If the life expectacy in county A is 65 years with CI of (55, 75) and in county B is 87 years with CI of (85, 90), are the two life expectancies likely to be statistically different?
Ages of 150 Rank and File Employees of ABC Financing Co. No. of employees Age (years) fx 18 - 22 19 23 27 27 - 28 - 32 35 33 37 40 38 42 29 N 150 Efx = %3D E fx X = X = Ans
9
Copy of Lessor nihq.com/web/viewer.html?state=D%7B"ids"%3A%5B"15kf39g-5S7VTg6CmniFQyXQIq2v_07kL"%5D%2C"action"%3 Equilibrium quiz 3 E You've already resp..E Tylon Clark- Algebr.E Copy of Tylon Clark... M escribing Tylon Clark - Copy of Lesson 4 - Problem Set.docx Which statement best describes the effects on the graph of f(x) = 2 when f(x) is replaced by -2f(x +3)-5? A The graph is reflected over the y-axis, vertically compressed by a scale factor of horizontally translated 3 units to the left, and vertically translated 5 units down. The graph is reflected over the x-axis, vertically stretched by a scale factor of 2, horizontally translated 3 units to the left, and vertically translated 5 units down. The graph is reflected over the x-axis, vertically stretched by a scale factor of 2, horizontally translated 3 units to the right, and vertically translated 5 units down. D The graph is reflected over they-axis, vertically compressed by a scale factor of 5, horizontally translated 3 units…
If the life expectacy in county A is 65 years with CI of (55, 75) and in county B is 87 years with CI of (40, 98), are the two life expectancies likely to be statistically different?
If the expected return on the market is 8% and the risk for your rate is 4%. What is the expected return for a stock with a beta equal to 2.00?
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If I had a series of data X = (x₁+x₂+x₂+ 1 2 +xN} I would have a mean and standard deviation, and s X If I subtracted 3 from every observation in the data series, X, which of the following would happen? The mean of X will increase by 3 The mean of X will decrease by 3 The standard deviation of X will be three times as large The standard deviation of X will be one third as large 3 ...
In finance, one example of a derivative is a financial asset whose value is determined (derived) from a bundle of various assets, such as mortgages. Suppose a randomly selected mortgage in a certain bundle has a probability of 0.04 of default. Complete parts a to d below. (a) What is the probability that a randomly selected mortgage will not default (that is, pay off)? The probability is (Type an integer or a decimal. Do not round.) (b) What is the probability that a bundle of five randomly selected mortgages will not default assuming the likelihood any one mortgage being paid off is independent of the others? Note: A derivative might be an investment that only pays when all five mortgages do not default. The probability is (Round to four decimal places as needed.) (c) What is the probability that the derivative from part (b) becomes worthless? That is, at least one of the mortgages defaults. The probability is. (Round to four decimal places as needed.) (d) In part (b), we made the…
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