Question

You are a 60 year old male. You want $1,000,000.00 in term life insurance. It will cost you $13.22 per $1,000.Calculate the annual premium.A $11,220.00B $12,220.00C $13,220.00D $14,220.00

Answer 1

We need to reach the total of $1,000,000 with a cost of $13.22 per $1,000

For this, we simply need to calculate how many times $1,000 need to be added to reach the total of $1,000,000

$\frac{1000000}{1000}=1000$

Finally, we need to multiply this last result by the cost per $1000

$13.22\cdot1000=13220$

Therefore, the answer to the question is C) $13,220.00