AMAT 176 Z

Modified Reserve for n-year Term Insurance

Espiel, Vernaleen Joyce G.
Gabia, Frank Louie A.
Larao, Marc Kristian G.
Paredes, Ma. Angelica B.
Yap, Reiner Jeftee J.

Reserve with Net Level Premium

Using equivalence principle,

That is,

Note that since the expense in the first year is greater than the succeeding years,

Thus,