Question

How much less would a 23-year-old female pay for a $25,000 policy of 20 year life insurance (@ $2.90 per $1000) than straight life (@ $15.78 per $1000)?

Answer 1

Answer:

The female would pay  $322.00 less for a policy of $25,000

Step-by-step explanation:

Since we have given that

Amount for policy = $25000

If she opt for 20 year life insurance at $2.90 per $1000.

so, her amount of premium becomes

$25000\times \frac{2.9}{1000}$

=$72.50

If she opt for straight life insurance at $15.78 per $1000,

Then, her amount of premium becomes

$25000 \times \frac{15.78}{1000}$

= $394.50

Difference between them is given by

$394.50-$72.5 = $322.00

Answer 2

Answer:

The answer to this question is $322.

Step-by-step explanation:

From the question, we recall the following

23-year-old female pay for a $25,000 policy less policy of 20 year life insurance.

The first step is to calculate the policy of 20 year life insurance

The number of thousands on 2500 is, 25000/1000=25

25*2.9  = 72.5

The next step is to get the straight life

Thus,

25×15.78  = 394.5

Now,

How much less  would the 23 year old pay

394.5−72.5  = $322