For a 3-year term insurance policy on (x), level premiums are payable for 3 years. The following data are given.
|
k
|
qx+k
|
ik
|
bk
|
|
0
|
0.10
|
0.20
|
50 000
|
|
1
|
0.15
|
0.25
|
20 000
|
|
2
|
0.20
|
0.30
|
15 000
|
(a) Find the vector yx.
(b) Find the net cash flow vector.
(c) Using your answers to (a) and (b), compute 1V and 2V.
(d) Explain briefly why your answers to (c) are negative.