William, age 45, would like to determine how much life insurance to purchase using the human life value approach. He assumes his average annual earnings over the next 20 years will be $80,000. Of this amount, $40,000 is available annually for the support of his family. William will generate this income for 20 more years and he believes that 5 percent is the appropriate interest (discount) rate. The present value of one dollar payable for 20 years at a discount rate of 5 percent is $12.46. What is William's human life value?

William's human life value is $498,400

Explanation:

Given

Time = 20 years

Average Earnings = $80,000

Family Support = $40,000

Dollar Value = $12.46

To calculate a human life value, it is very important to deduct the Income tax costs from a person's average annual earnings.

Since William doesn't have any outstanding loan;

His Human Life value is calculated as follows;

HLV = (Annual Earnings - Family Support) * Dollar Value

HLV = ($80,000 - $40,000) * 12.46

HLV = $40,000 * 12.46

HLV = $498,400

c

explanation:

c because the item on a bank statement is also referred to as an account statement. in addition, it provides the beginning balance, ending balance, statement date, transaction date for each transaction, payee, customer name and address, statement period, the account holder's account number, and the bank's customer service number

hi,

henry is an economist and wants to understand the relationship between inflation and consumer spending habits. for his research, he needs the consumer price index for 2014 and the inflation rate. based on the prices of goods given, what will he find to be the cpi and inflation rate for 2014? assume that a consumer’s basket for three consecutive years consists of the following:

you dont privide answer choices.

answer - 15% of a inflatation rate is 15% less in cpi