Answer: The illustration must show that the policy owner (Kiara)<em> </em><em>may need to resume paying the premium payments depending on actual results. </em>
The policy owner will need to determine if this is the right policy for her and her family. The illustration should be truthful about how the policy will perform for the buyers lifetime. The illustration should also show the financial projections for each year so the buyer can determine if the plan fits their budget.
Risk transferring refers to taking risk or risk that may occur from one party and moving it to another. If there was a chance risk may occur, conducing a 'what if' analysis will allow the organization to see what may happen if they do or do not transfer risk to another party.
<span>When the financial institution or lender gives a borrower a maximum credit limit of $1,000, it means that he can only owe within that amount or spend up to that limit. Otherwise, spending more than $1,000, the borrower may face penalties or fines in addition to his regular payment. In other words, credit limit refers to the maximum amount of credit a bank extends to the client who has the capacity to pay his debt.
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Amount of money deposited in the two accounts is 80% of 7500$.
Amount of money in the two accounts = 0.8 * 7500 = 6000$
Now assume that the amount deposited in CD account is m and the amount deposited in the saving bond is n.
m + n = 6000
Therefore: m = 6000 - n ................> equation I
Now we write another equation expressing the savings:
0.04m + 0.07n = 360 ............> equation II
Substitute with equation I in equation II:
0.04 (6000-n) + 0.07n = 360
240 - 0.04n + 0.07n = 360
0.03n = 120
n = 4000 $
Substitute with n in equation I to get the value of m as follows:
m = 6000 - n = 6000 - 4000 = 2000
Based on these calculations:
The amount of money deposited in the CD = 2000$
The amount of money deposited in the saving account = 4000$
57,000/$12=4,750 hope this helps :)
