A survival model has a constant force of mortality of 0.05 and a constant force of interest of 0.03. Y is the present value random variable for a continuous whole life annuity on a life aged 45.

Calculus For The Life Sciences
2nd Edition
ISBN:9780321964038
Author:GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.
Publisher:GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.
Chapter13: Probability And Calculus
Section13.CR: Chapter 13 Review
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Question 3
A survival model has a constant force of mortality of 0.05 and a constant force of
interest of 0.03. Y is the present value random variable for a continuous whole life
annuity on a life aged 45.
Calculate the expected value of Y.
71
50
0.6
12.5
Transcribed Image Text:Question 3 A survival model has a constant force of mortality of 0.05 and a constant force of interest of 0.03. Y is the present value random variable for a continuous whole life annuity on a life aged 45. Calculate the expected value of Y. 71 50 0.6 12.5
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