The following information are given retaining to the whole life policy: Amount of whole life policy: Rs 600,000 Annual mortality rate with current…
BBA Financial Markets and Services · 2025 · Solved Question with Answer
The following information are given retaining to the whole life policy:
Amount of whole life policy: Rs 600,000
Annual mortality rate with current age of 40 year: 1.5%
Life expectancy from now: 25 years
Cost of funds: 12%
Calculate the present value of benefits that the insurance company is expected to offer over the next 25 years.