Results 1 to 2 of 2

Math Help - UDD prob

  1. #1
    Junior Member plm2e's Avatar
    Joined
    Sep 2008
    Posts
    40

    UDD prob

    http://i146.photobucket.com/albums/r...ouis/prob3.jpg

    I have started in this direction but i was told it was wrong:


    A bar (overset 1)20:20l(with bar above last 20) = (i/δ) A20:20l (with bar above last 20)


    A bar (overset 1)20:20l(with bar above last 20) = .02 (given)
    i = .1 (given)
    A20:20l (with bar above last 20) = .32 (given)
    A bar (overset 1)40:30l(with bar above 30)= .25

    trying to find: A bar (overset 1)20:50l(with bar above 50)= ?



    so, .02 = (.1/δ)*.32
    .0625 = .1/δ
    δ = 1.6
    Last edited by CaptainBlack; May 4th 2009 at 12:25 PM.
    Follow Math Help Forum on Facebook and Google+

  2. #2
    MHF Contributor
    Joined
    Aug 2007
    From
    USA
    Posts
    3,110
    Thanks
    2
    It will help if you can wrote out the meaning of the symbols.

    "A" is a curtate life insurance.

    "A-Bar" is a continuous life insurance.

    The first lower-right number is an age.

    The second is a duration.

    Can you say for sure what the "1" is doing? Does it relate to the "A" or to the Age?

    Are you sure i/ \delta is appropriate for UDD?

    Are you sure you are clear on the difference between a term insurance and an endowment insurance? Your setting 0.02 = i/ \delta * 0.32 is not encouraging. That may be good for the pure insurance portion, but you have entirely overlooked the pure endowment.

    Hint: [(i/ \delta)*0.32] less 0.02 = price of continuous pure endowment for 20 years at age 20.
    Last edited by TKHunny; May 10th 2009 at 10:27 AM. Reason: minor addition
    Follow Math Help Forum on Facebook and Google+

Similar Math Help Forum Discussions

  1. Replies: 2
    Last Post: April 12th 2011, 10:13 AM
  2. AP prob
    Posted in the Pre-Calculus Forum
    Replies: 1
    Last Post: May 6th 2010, 09:53 PM
  3. Prob-Value
    Posted in the Advanced Statistics Forum
    Replies: 0
    Last Post: August 25th 2009, 04:49 AM
  4. Log Prob.
    Posted in the Algebra Forum
    Replies: 3
    Last Post: February 3rd 2009, 04:14 PM
  5. prob
    Posted in the Calculus Forum
    Replies: 1
    Last Post: December 2nd 2007, 09:00 AM

Search Tags


/mathhelpforum @mathhelpforum