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Determine the pure level premium per year

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Anthony who just turned 45 is considering buying a $250,000 life insurance policy on himself in favour of his daughter Audrey. Audrey is a high school student will be done with her University education in 6 years. After 6 years Anthony will no longer need life insurance because Audrey will be done with her university studies, and will be on her own. Anthony wants to pay a level premium. The appropriate interest rate is 5%. Determine the pure level premium per year. The probability is not provided.

Reference no: EM132411023

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