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tiny-mole [99]
3 years ago
12

If Jesse wants to buy a $75,000 10-year term life insurance policy, and the annual premium rate (per $1000 of face value) for hi

s age group is $2.34, how much is Jesse’s annual premium?
Mathematics
1 answer:
Illusion [34]3 years ago
5 0
To the annual premium rate we use the formula:
A = (Benefit Volume / Face Value) (Annual Premium Rate)

Here are the given values:
Benefit Volume = $75,000
Face Value = $1,000
Annual Premium Rate = $2.34

Plugging in the given values:
A = ($75,000 / $1000) ($2.34)
A = $175.50

The annual premium is $175.50
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