Question

Many employers offer supplemental life insurance to their employees to help offset the costs should an employee suddenly die. The cost of the insurance depends on the age of the employee. The following table shows the monthly insurance rates for $20,000 of supplemental insurance.I already have the table of values

Answer 1

The formula to calculate the percentage change is:

$PercentageAverage=\frac{sumAllValues}{numberOfData}$$PercentageAverage=\frac{11+25+20+20+50+59+21+38+28+39+25+38+44+40+54+43}{16}$$\begin{gathered} PercentageAverage=34.6875\approx35 \\ \end{gathered}$

The answer to the constant increase in the montly rate is : 34.69 (average)

Given R(26)=0.72

The function will be:

$R(A)=a*b^x$

using 0.72 as base:

$\begin{gathered} R(26)=0.72 \\ R(29)=0.72*b^{29}=0.80 \\ 0.80=0.72*b^{29} \end{gathered}$

Solving for b

$\begin{gathered} \frac{0.80}{0.72}=b^{29} \\ b=\sqrt[29]{1.11}=1.00 \end{gathered}$

The function will be:

$R(A)=0.72*1^x$

Where x is the mid-interval.