SOA Exam FM Sample Question 276
Study guide: Exam FM-2
A perpetuity-immediate pays 20 for 10 years, decreases by 1 per year for 19 years, and then pays 1 per year thereafter. At an annual effective interest rate of 6%, the present value is equal to X.
Calculate X.
- A) 208
- B) 213
- C) 218
- D) 223
- E) 228
Answer this question and see the worked solution