Revision as of 21:19, 20 November 2023 by Admin (Created page with "'''Solution: B''' The company must purchase 4000 in one-year bonds and 6000 in two-year bonds. The total purchase price is 4000 /1.08 + 6000 /1.11<sup>2</sup>= 8573. {{soacopyright | 2023 }}")
(diff) ← Older revision | Latest revision (diff) | Newer revision → (diff)

Exercise

AAdmin
Nov 20'23

Answer

Solution: B

The company must purchase 4000 in one-year bonds and 6000 in two-year bonds. The total purchase price is 4000 /1.08 + 6000 /1.112= 8573.

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

00