Non participating whole life insurance policy

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Reference no: EM13877729

Beth purchased a $50,000 non participating whole life insurance policy. The annual premium was $1,278. The cash value of the policy after 10 years will be $13,740. The future value of $1 deposited at the start of the year for 10 years, assuming 5 percent interest, is $13.207. What is the net payment cost of this policy, per thousand per year, over the first 10 years the policy is in force?

A) $12.71

B) $14.82

C) $17.24

D) $25.56

Reference no: EM13877729

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