Question

Trylon Eager took out an $85,000, 20-year term policy at age 40. The premium per $1,000 was $5.00. He will be 60 years old this year. The premium per $1,000 will be $5.90. The percent increase to the nearest whole number is ____%. (Enter only the number.)

Answer 1

Okay. So, the amount was previously $5 per 1,000. The price has gone up to $5.90. That’s a 90 cent change from the previous 5 dollars. To find the percent of change, we have to do change/original. 0.90/5 is 0.18. Multiply that by 100 to get 18. The percent increase to the nearest whole number is 18%.