ACTSC 231 quiz1-soln

ACTSC 231 quiz1-soln - 1 . ( 7pts.) Y ou a re g ivent hat A...

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1. (7pts.) You are given that AN(t): dtz + 0t+1for t ) 0, and that 476(0) - 50, Ax(I): 70, and Ax(2): 110. 3 (u) Find K, u, and p. 7 (b) Find the accumulation function a(l). 7@) Find time 1 value of $2,200 clue at time 2. 5;l^: (n) l=Ar(a)=!o Ae(o)= J"o**('crT' 74u5, Y=sc 'ryTiru)=?c -,5d '!'r+( r+to = 70 1 , -/\ )r+8")+rn=llCI I Ao e) =llu { '('r- ' \- 'z 'i rl .o, f ,/.+P=Jc :)f'a<=10 l+/.+z-P=6o (=lo (bt0&)=ry=W G) f+")oo ffi= f),)co #=f L+oo a(t)= + LL+ ["t+ | =+ eet=+"/++r+1
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/ 2. (6pt.) Round Uour &nsuers to two d'ecim'oJ places' (rT K+ (a) How much interest is earned during the 5th year by $1,000 invested todav under compound interest with annual effective rate |Yo? (b) How much interest today under sirnple interest with annual effective late 57a? -lr 'lLeferuuu'u",'t"':** c L ' lL t I nr (a) il, o 00 (Frez)t - $ 000 (t+tz )' | -; t,l7[,zt tT( 3*( elf, w6>Ta :L ^ -(1. TbUrld (<) H r;lr; f1r,1.-.,( ;&fle51 r3 e {trne"'J J,,rt;Y +LA g(L tYo try ti,cocr int/atvA +"drLU *-i'l* o""7'1,'*l A, il*t w i{h R, n ct nnvr;,| v^cw+e 4 s /- , *^ d) H uW t\^tLil\ ;rJt€rest (-S eirvn v4 dWM +'/'I- t ryw U ftlrli;t lnvrr-t'e{ *"J(y,.*iY 7-,Y'' As. vtvn. w iily ctryt. (t rtvtvunl rn* f/ I <: G) lr,'cce(1fi) I* fl,ooc(dn:f'6+,6t d)FJ,ctc"fu ^t lt;:' ,tW={ 93,33
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3. (6pts. .1
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This note was uploaded on 01/21/2011 for the course ACTSC 231 taught by Professor Chisholm during the Fall '09 term at Waterloo.

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ACTSC 231 quiz1-soln - 1 . ( 7pts.) Y ou a re g ivent hat A...

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