Revision as of 23:00, 18 November 2023 by Admin (Created page with "'''Solution: D''' The given information yields the following amounts of interest paid: Seth = 5000 ((1+0.12/2)<sup>10</sup>-1)= 8954.24- 5000 = 3954.24 Janice = 5000(0.06)(10) = 3000.00 Lori = <math>P(10)</math> - 5000 = 1793.40 where <math>P = \frac{5000}{a_{\overline{10}|6\%}}</math> = 679.35 The sum is 8747.64. {{soacopyright | 2023 }}")
Exercise
ABy Admin
Nov 18'23
Answer
Solution: D
The given information yields the following amounts of interest paid:
Seth = 5000 ((1+0.12/2)10-1)= 8954.24- 5000 = 3954.24
Janice = 5000(0.06)(10) = 3000.00
Lori = [math]P(10)[/math] - 5000 = 1793.40 where [math]P = \frac{5000}{a_{\overline{10}|6\%}}[/math] = 679.35
The sum is 8747.64.
Copyright 2023 . The Society of Actuaries, Schaumburg, Illinois. Reproduced with permission.