Revision as of 21:57, 19 November 2023 by Admin (Created page with "'''Solution: A''' For the first bond: <math display = "block"> (0.076)(6000)a_{\overline{20}|0.065}+6000v^{20}, \, P = 6727.22. </math> For the second bond: <math display = "block"> 6727.22=(r)(7500)a_{\overline{{{20}}}\mid0.065}+7500v^{20}, \, 7500r = 417.37, \implies r = 0.0556. </math> {{soacopyright | 2023 }}")
(diff) ← Older revision | Latest revision (diff) | Newer revision → (diff)

Exercise

ABy Admin
Nov 19'23

Answer

Solution: A

For the first bond:

[[math]] (0.076)(6000)a_{\overline{20}|0.065}+6000v^{20}, \, P = 6727.22. [[/math]]

For the second bond:

[[math]] 6727.22=(r)(7500)a_{\overline{{{20}}}\mid0.065}+7500v^{20}, \, 7500r = 417.37, \implies r = 0.0556. [[/math]]

Copyright 2023 . The Society of Actuaries, Schaumburg, Illinois. Reproduced with permission.

00