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Life Insurance Companies Use Life Tables Containing Data on Thousands

Question 115

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Life insurance companies use life tables containing data on thousands of people to calculate their rates for life insurance at different ages.What information would be most useful in determining these rates?


A) Survivorship, allowing prediction of risk of death at each age
B) Total fecundity, allowing prediction of the population's future size
C) Birth and death rates, showing that these do not vary within a population
D) The population growth rate, showing when population growth will level off
E) Fecundity within each age class, allowing prediction of offspring per person

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