Tom Worker pays $1,200.00 annually for $90,000 worth of life insurance.
Tim uses the formula B x Iⁿ to compute how much $1,200.00 will become at 6% compounded annually.
Complete the following sentences. (Include decimal places for cents in each answer, even when cents are not calculated. Use a thousands comma where applicable.)
1. Amount paid in premiums after 10 years: $____
2. Cash value at the end of 10 years: $____
3. The ratio of cash value to premiums as a percent to the nearest hundredth __ %
4. He multiples $1,200.00 x 1.79 to find $____