User Account

All Pages

What will the death benefit guarantee of the annuity

Assignment Help Accounting Basics
Reference no: EM133171690

Question - Sam bought an annuity with a single deposit of $12,000 and invested the funds in a newly issued segregated fund with a unit value of $10. This annuity offers a 75% guarantee on segregated fund deposits at death of the annuitant or maturity of the plan. Sam has experienced a personal financial crisis and needs to withdraw $3,000 from his deferred annuity. What will the death benefit guarantee of the annuity become if Sam withdraws the $3,000 when the fund unit value is $12? The annuity uses the proportional withdrawal method to adjust its guarantees.

Reference no: EM133171690

Questions Cloud

Key component of the crisis plan process : Why is crisis evaluation such a key component of the crisis plan process?
How should their npv evaluation of today : The required rate of return for their investment is 11% and the tax rate rate is 40%. How should their NPV evaluation of today through year 5
Determine the group development and team performance : "Conflict is an important step in group development and team performance" (Behfar, Mannix, Peterson, & Trochim, 2011).
Analysis of the low-quality data : Provide an additional example of each of the five common characteristics of high quality information that is not provided in the above figure
What will the death benefit guarantee of the annuity : What will the death benefit guarantee of the annuity become if Sam withdraws the $3,000 when the fund unit value is $12
Prepare the necessary entries : Vaughn Manufacturing uses the straight-line method of depreciation. The company's fiscal year end is December 31. Prepare the necessary entries
What total cost should be debited to the machine account : Oils needed to lubricate the machine during operation $350. When the machine is purchased, what total cost should be debited to the machine account
Cost reduction and risk reduction of outsourcing : Management advantages-cost reduction and risk reduction of outsourcing. Discuss which company you would outsource to and why.
Evaluation of merger or acquisition : Discuss the companies' management of human capital in the merger or acquisition.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd