Actuarial Notes

SOA Exam FAM Sample Question 7.17

Study guide: Exam FAM

For a fully discrete whole life insurance of 1 on (x), you are given:

(i) q_{x+10} = 0.02067

(ii) v^{2} = 0.90703

(iii) A_{x+11} = 0.52536

(iv) {}^{2}A_{x+11} = 0.30783

(v) _{k}L is the prospective loss random variable at time k

Calculate \dfrac{\text{Var}({}_{10}L)}{\text{Var}({}_{11}L)}.

[Question 16 on the Fall 2014 exam]

  • A) 1.006
  • B) 1.010
  • C) 1.014
  • D) 1.018
  • E) 1.022

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