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A universal life policy has a stated death benefit of 100 000, monthly premiums of 5000, monthly expenses of 100, and a further monthly expense charge of 4% of each premium. The annual credited interest rate is 8%, and the monthly cost of insurance rate in the 5th year of the policy is 30 per thousand. If the account value at the end of the 52^nd month is 50 000, find the account value at the end of the 53rd month, assuming that the policy is (a) type B and (b) type A.

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Statistics and Probability, Statistics

Category:- Statistics and Probability
Reference No.:- M91710549

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