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Sagot :
Answer:
0.01030 ; $515 ; kindly check explanation
Step-by-step explanation:
Given :
x = age 60 61 62 63 64
P(death at this age) 0.01030 0.01357 0.01609 0.01981 0.02362
Death benefit = $50,000
A) P(death at x = 60) = 0.01030
Expected cost at 60;
0.01030 * 50000 = $515
Expected cost at 61;
0.01357 * 50000 = $678.5
Expected cost at 62;
0.01609 * 50000 = $804.5
Expected cost at 63;
0.01981 * 50000 = $990.5
Expected cost at 64;
0.02362 * 50000 = $1181
Total expected Cost :
1181 + 990.5 + 804.5 + 678.5 + 515 = 4169.5
To make $700 above total expected cost
(0.01030x + 0.01357x + 0.01609x + 0.01981x + 0.02362x = 4169.5 + 700
0.08339x = 4869.5
x = 4869.5 / 0.08339
x = 58394.291
x = 58394.30
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