SOA Exam FAM Sample Question 6.21
Study guide: Exam FAM
For a special fully discrete 15-year endowment insurance on (75), you are given:
(i) The death benefit is 1000
(ii) The endowment benefit is the sum of the net premiums paid without interest
(iii) d = 0.04
(iv) A_{75:\overline{15}|} = 0.70
(v) A_{75:\overline{15}|}^{\phantom{75:}1} = 0.11
Calculate the annual net premium.
[Question 9 on the Fall 2014 exam]
- A) 80
- B) 90
- C) 100
- D) 110
- E) 120
Answer this question and see the worked solution