ࡱ> xzw` C`bjbj .dQ:$66686$7$9T77777888SSSSSSS$ThWW\*S;88;;*S77SE?E?E?;T77SE?;SE?E?PtR77 `g96W< PQS T09TdQWc=~W(tRWtR8v9TE?Y9D9f888*S*S>d8889T;;;;$$$26$$$6$$$ A fund is earning 5% simple interest. Calculate the effective interest rate in the 6th year. 2.5% 3.0% 4.0% 5.0% 6.0% A fund is earning 5% simple interest. The amount in the fund at the end of the 5th year is 10,000. Calculate the amount in the fund at the end of 7 year. 10,800 10,900 11,000 11,100 11,200 Calculate the present value of a payment of 10,000 to be made in 17 years assuming a simple rate of discount of 3%. 4,900 5,100 5,958 6,050 6,623 Fund A earns interest at a nominal rate of interest of 12% compounded quarterly. Fund B earns interest at a force of interest . John invested $1,000 in each fund five years ago. Today, the amount in Fund A is equal to the amount in Fund B. Calculate . 11.7% 11.8% 11.9% 12.0% 12.1% Fund A earns interest at a nominal rate of interest of 12% compounded quarterly. Fund B earns interest at a force of interest . John invested $1,000 in each fund five years ago. Today, the amount in Fund A is 150% of the amount in Fund B. Calculate . 3.7% 6.0% 6.2% 6.6% 6.8% Fund A earns interest at a nominal rate of 6% compounded monthly. Fund B earns interest at a nominal rate of discount of compounded three times per year. The annual effective rate of interest earned by both funds is equal. Calculate the nominal rate of discount earned by Fund B. 1.49% 1.98% 5.93% 5.94% 5.95% A fund earns interest at a constant force of interest of  = 0.05. Calculate the value at the end of five years of 8,000 invested today. 10,210 10,241 10,272 10,500 10,799 A fund earns interest at a force of interest of  = 0.01t. Calculate the value at the end of five years of 8,000 invested today. 8,410 9,065 9,270 9,666 10,272 A fund earns interest at a force of interest of  = 0.01t. Calculate the value at the end of 10 years of 8,000 invested at the end of 5 years. 9,065 9,270 10,272 10,820 11,640 Which of the following are true: i  d = id iv = d d = 1  v i only ii only iii only i and iii only The correct answer is not given by a., b., c., or d. A fund earns interest at a force of interest of  = 0.01t. Calculate the effective rate of interest in 10th year. 9.0% 9.5% 10.0% 10.5% 11.0% A fund will earn a nominal rate of interest of 5% compounded quarterly during the first two years, a nominal rate of discount of 4% compounded monthly during years 3 and 4, and a constant force of interest of 3% during the fifth and sixth year. Calculate the amount that must be invested today in order to accumulate 5,000 after 6 years. 3935 3936 3944 3951 3952 SA(t) is the amount function under simple interest. CA(t) is the amount function under compound interest. Which of the following are true: SA(t) is equal to CA(t) only at t = 1 SA(t) is less than CA(t) for all t > 1 SA(t) is greater than CA(t) for 0 < t < 1 i only ii only iii only i and ii only The correct answer is not given by a., b., c., or d. Which of the following are true for a(t): a(0) = 1 a(t) is an increasing function a(t) is a continuous function i only ii only iii only i and ii only The correct answer is not given by a., b., c., or d. Which of the following are true: i = a(1) 1 A(k)/a(k) = k The effective interest rate under simple interest, in, is a decreasing function of n. All but i. All but ii. All but iii All are true The correct answer is not given by a., b., c., or d. Calculate the effective annual interest rate equivalent to a nominal rate of interest of 6% compounded continuously. 6.00% 6.17% 6.18% 6.19% 6.20% Calculate the effective annual interest rate equivalent to a nominal rate of discount of 6% compound continuously. 6.00% 6.17% 6.18% 6.19% 6.20% If i(8) = 0.16, calculate d(). 13.6% 14.6% 16.6% 17.6% 18.6% If a(t) = 1 + .01(t2+t), calculate 5. 8.00% 8.11% 8.24% 8.33% 8.46% You are given that v = 0.80. Calculate d. 1/3 1/4 1/5 1/6 1/7 A fund earns a nominal rate of 8% compounded quarterly. Calculate the accumulated value of 1000 after 6.75 years. 1577 1673 1681 1707 1741 A fund earns a nominal rate of interest of 6% compounded every two years. Calculate the amount that must be contributed now to have 1000 at the end of six years. 507 606 705 712 840 A fund earns a nominal rate of interest of 6% compounded every two years. Calculate the amount that must be contributed now to have 1000 at the end of one year. 890 893 941 943 945 On July 1, 1999 a person invested 1000 in a fund for which the force of interest at time t is given by t = .02(3 + 2t) where t is the number of years since January 1, 1999. Determine the accumulated value of the investment on January 1, 2000. 1036 1046 1064 1083 1094 You are given that  = 0.05. Calculate the amount that must be invested at the end of 10 years to have an accumulated value at the end of 30 years of $1000. 223 231 368 377 607 You are given that t = t/100. Calculate the present value at the end of the 10 year of an accumulated value at the end of 15 years of $1000. 515 525 535 545 555 Calculate k if a deposit of 1 will accumulate to 2.7183 in 10 years at a force of interest given by: t = kt for 0<t<=5 t = .04kt2 for 5<t<=10 0.0069 0.0414 0.0480 0.0600 0.0706 AWY_`a{ < q 7<Ok+,blt.fj!)J>?uIJK[蹱h^7hM uH*h^7h^7H* h3dh3dh^7hmhmH*hmh.;h3dhpyhhBhnhbhM uhCh[Kh[KH*h[K@()`afkpuz{   & - 4 ; < ^gd[Kgd[K8^8gdC & FgdC hh^h`hgdC hh^h`hgd[K & Fgd[K`B` gd[K8^8gdC^gd[K & Fgd[KgdC & FgdCh^hgdn  ,-39?EKL(6DR`h^hgdpy hh^h`hgdpy & Fgd[K8^8gdC & Fgd & FgdC`bjl|68,.prgdpy8^8gd3d & Fgd3d hh^h`hgdpyh^hgdpy & Fgdpy8^8gdCrdf()07=CIJ^gd3d & Fgd3d hh^h`hgdmh^hgdm & Fgdm8^8gd3d & Fgd3d^gdn & FgdpyJ?@HIo & Fgd3d^gdM u & Fgd^7h^hgd^7^gd3d & Fgd3dgd3d^gd^7 hh^h`hgd^7 & Fgd^7[\opqFG  (\]_}~ ?[{$*RX\`LMNӿϻϻϷϻϻh+h}!h3h3H*ht{}h3H*h3h3H*ht{}h3hbhhnhnH*hnh3dhM uh^7>*hM uhM uH*hM uh^7hM uH*h^7hM uh^7H*;GHQp  (h^hgd3d & FgdM u^gdM u & Fgd3d^gd3d & FgdM uh^hgdM u & Fgd^7^gd3d & Fgd3d(~[\bhntz{ & Fgdt{}^gdt{} & Fgdt{}h^hgdt{} & Fgdn^gd3d & Fgd3d & Fgdt{}^gd3d & FgdM u\^jv(*h^hgdt{} & Fgdn^gdt{} & Fgdt{}MNSX]bgh ^gdvh^hgdv^gd+ & Fgd+ hh^h`hgd}! hh^h`hgd+h^hgd}! & Fgdn^gdt{} & Fgdt{}Nh ! !!!#D#l#n#h$$\%^%`%b%%%%%%%&H&HZHHHHHHHHHH!Ihs H*hs hvh}!h+C   !kl!!! hh^h`hgds  & Fgds ^gdvh^hgdv & Fgdv^gd+ & Fgd+ hh^h`hgdv!!!!!!!!""##"#*#2#:#B#D###f$h$p$x$h^hgds ^gds  & Fgds ^gd+ & Fgd+ hh^h`hgds x$$$$$\%^%%%%%%%%%%YHZHHH hh^h`hgd36h^hgd36^gd3 & Fgd3^gd3 & Fgd3h^hgd3 & Fgds ^gd+ & Fgd+ deposit is made on January 1, 2004. The investment earns 6% compounded semi-annually. Calculate the monthly effective interest rate for the month of December 2004. 0.00487 0.00494 0.00500 0.00501 0.00509 A deposit is made on January 1, 2004. The investment earns interest at a constant force of interest of 6%. Calculate the monthly effective interest rate for the month of December 2004. 0.00487 0.00494 0.00500 0.00501 0.00509 A deposit is made on January 1, 2004. The investment earns interest at a rate equivalent to an annual rate of discount of 6%. Calculate the monthly effective interest rate for the month of December 2004. 0.00487 0.00500 0.00501 0.00509 0.00517 A deposit is made on January 1, 2004. The investment earns interest at a rate equivalent to a rate of discount of 6% convertible quarterly. Calculate the monthly effective interest rate for the month of December 2004. 0.00497 0.00500 0.00505 0.00509 0.00517 A deposit is made on January 1, 2004. The investment earns 6% simple interest. Calculate the monthly effective interest rate for the month of December 2004. 0.00471 0.00474 0.00487 0.00500 0.00517 You are given that i = 0.09. Calculate d(12). 8.25% 8.40% 8.59% 8.93% 9.00% You are given that i(12) = 0.09. Calculate . 8.62% 8.75% 8.88% 8.97% 9.00% You are given that i(12) = 0.09. Calculate i(4). 8.71% 9.00% 9.07% 9.38% 9.72% You are given that d(2) = 0.04. Calculate . 3.96% 4.00% 4.04% 4.08% 4.12% You are given that d(6) = 0.12. Calculate i(12). 12.00% 12.18% 12.62% 12.85% 12.89% The annual effective interest rate for year t is 1/(10+t). Calculate the current value at the end of year 2 of a payment of 6000 at the end of year 7. 4000 4125 4235 4333 4421 Calculate the present value of $1000 payable in 10 years using a discount rate of 5% convertible quarterly. 599 605 608 611 613 Calculate the accumulated value at the end of 3 years of 250 payable now assuming an interest rate equivalent to a discount rate of 12% convertible monthly. 351 356 358 HHHHHHH@IAIIIIIIIII9J:JJJJJJ & Fgdu hh^h`hgd36h^hgd36 & Fgd36^gdu & Fgds JJJJ@KAKKKKKKKKKK L LZL[LcLkLsL{Lh^hgd\ & Fgd\ hh^h`hgd36h^hgd36 & Fgd36h^hgdu & Fgdu{LLLLLLLLLLLLLLLNNN N,N8NDN & Fgd3^gdb & Fgdb^gd3h^hgd3 & Fgds h^hgd\ & Fgd\LLLLNNFNnNvNNNNNNNOODOFOHOOOOOOOOP0PQPWPYPPPPPP@fԸ9՜.+,0 hp  Actuarial Options LLC3C 1 Title  !"#$%&'()*+,-./012456789:<=>?@ABCDEFGHIJKLMNOPQRSTUVWXYZ[\]^_`abcdefhijklmnpqrstuvyRoot Entry FP@{Data 31Table;WWordDocument.dSummaryInformation(gDocumentSummaryInformation8oCompObjq  FMicrosoft Office Word Document MSWordDocWord.Document.89q