SOA Exam FM Sample Question 15
Study guide: Exam FM-2
Olga buys a 5-year increasing annuity for X.
Olga will receive 2 at the end of the first month, 4 at the end of the second month, and for each month thereafter the payment increases by 2.
The annual nominal interest rate is 9% convertible quarterly.
Calculate X.
- A) 2680
- B) 2730
- C) 2780
- D) 2830
- E) 2880
Answer this question and see the worked solution