Angelo, age 40, is comparing the premium for a $125,000 whole life insurance policy he may take now and the premium for the same

Question

3 years ago

13

Angelo, age 40, is comparing the premium for a $125,000 whole life insurance policy he may take now and the premium for the same

policy taken out at age 45. Using the table, find the difference in total premium costs over 20 years for this policy at the two age levels. a. $69,375 b. $11,725 c. $12,875 d. $644

Mathematics

2 answers:

Vesna [10] · Answer 1 · 2022-09-01T16:27:48+03:00

Vesna [10]3 years ago

8 0

The correct answer is <u><em>C.</em></u>

125000/20*2=12500, then round

Hope this helps!!!

kaheart [24] · Answer 2 · 2022-09-01T18:26:41+03:00

kaheart [24]3 years ago

6 0

Policy value over 20 years = 125000

Per year, 125000/20=$6250

Look up premium table for age 40 and 45, the difference in total premium is C. $12,875.