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sept 2014 question 11-Mortality profit

P

Patrova01

Member
Someone please help me understand why we we include the reserve of 4983.59 when calculation the DSAR. i.e, why is the DSAR not just (740 000-371 000). isnt the reserve of 371 000, not inclusive of the reserve for this one death with a sum assured of 15 000? why do we then also include it in calculating the DSAR.

Grateful for your assistance
 
Well by looking Question verbiage i can see 371000 is the reserve for the policy in force. That means this not includes one death which happened during the year.

Hope this helps
 
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