Q59
Single choice
On January 1, 2004 a father gave his daughter a $50,000 straight (ordinary) life insurance policy on his life. Premiums are paid annually. The pertinent facts about the policy are:
Date of issue: July 1, 1992
- Premium paid on July 1, 2003 $800
- Terminal reserve on July 1, 2003 5,000
- Terminal reserve on July 1, 2004 6,000