Stat-575,  Fall 2006.     HOMEWORK.

 

Answers.

 

1. Ch.1:  10 (yes, please start with this problem), 1, 2, 4, 12, 13, 14, 16, 17, 18, 19, 21, 22, 23, 24, 25.

 

Due to September 20.

 

2. Ch.2:  1 (absolutely mandatory), 2, 7, 9, 10, 11 bcd, 18, 19, 20a, 22, 24a, 26, 27, 30, 33, 34, 43ab, 45abc(has been added)df

 

3. Ch.4:   2, 3, 4, 12ab, 21, 22a, 30, 32, 33acd, 34-35.

 

4. Ch.5.  1, 9, 11, 12ab, 15, 17 (only heuristically), 28a, 29.

 

5. Ch.7.  1, 5a, 8, 10, 11, 13, 14.

 

6. Ch.8.   2, 3, 5 (the first question), 11, 12, 20, 31, 34.

 

7. Ch.9.   1, 6, 9, 16, 19, 20, 28, 33

 

8. Ch.10.  1(added), 4, 20, 25, 27, 31 (only the expected value),

 

9. Ch.11.   10, 14, 16. A student should know how to compute benefit premiums given the APV’s for the corresponding insurance and annuities. In particular, look at Examples 1-3 (pp.538-539). Compute for example, the benefit premium rate for the 30-year endowment insurance on 35-years-old insured proceeding from the table.