Business, 15.04.2021 20:40 selenamoreno8713

Liam O'Kelly is 20 years old and is thinking about buying a term life insurance policy with his wife as the beneficiary. The quoted annual premium for Liam is $ per thousand dollars of insurance coverage. Because Liam wants a $ policy (which is 2.5 times his annual salary), the annual premium would be $, with the first payment due immediately (i. e., at age 21). A friend of Liam's suggests that the $ annual premium should be deposited in a good mutual fund rather than in the insurance policy. "If the mutual fund earns % per year, you can become a millionaire by the time you retire at age 65," the friend advises. LOADING... Click the icon to view the interest and annuity table for discrete compounding when i% per year. a. Is the friend's statement really true? The future value of annual premiums deposited in a good mutual fund is $ nothing. (Round to the nearest dollar.)

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Liam O'Kelly is 20 years old and is thinking about buying a term life insurance policy with his wif...