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12. In a service table, you are given the following: Number of actives at exact age 40 1,500 Number of voluntary terminations between exact ages 40 and 41 30 Number of involuntary terminations between exact ages 40 and 41 20 Number of disability retirements between exact ages 40 and 41 10 Number of deaths between exact ages 40 and 41 12 All decrements are uniform over the year of age 40 to 41. q = rate of mortality at age 40 in the associated single decrement table.In what range is q?
13. The market value of a fund and its cash flows at various dates in a calendar year are shown below: Date Value of fund before withdrawals Withdrawals1/1 $300,000 $0 m months after 1/1 315,000 15,000 2m months before 12/31 315,000 15,000 12/31 315,000 0The dollar-weighted rate of return for the year is 16.0%. In what range is m?
14. Smith has the option of receiving a benefit in the form of an annuity beginning in one year.The annuities, each of which is actuarially equivalent, are:Option 1 A life annuity of $1,000 per yearOption 2 A life annuity of X per year, decreasing to 50% of X payable to Smith’s spouse after Smith’s death Option 3 A life annuity of $875 per year, payable while either Smith or Smith’s spouse is aliveIn what range is X?
15. Data for participant Smith: Age 65Years of service 10 Average compensation for highestconsecutive 3 years of participation $50,000 The plan provides the qualified joint and 100% survivor annuity on a fully subsidized basis. Consider the following statement:The maximum annual annuity Smith can receive in the form of a qualified joint and 100% survivor annuity is $50,000.Is the above statement true or false?
