Question DescriptionThe following table represents the overall change for calendar years 2018, 2019 and2020Overall Average Effective DateRate ChangeInitial7% July 1st 20182% January 1st 20195% April 1st 2020Rate LevelGroup123Show the graph of the policies according to Calendar year methodCalculate areas effective in Calendar year 2019Calculate the cumulative rate level index for each year1.2.3.4.Calculate the average rate level index for 2019 which is the weighted average ofthe cumulative rate level indices calculated in part 35.Calculate the on-level factor for historical period.

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The following table represents the overall change for calendar years 2018, 2019 and 2020 Overall Average Effective Date Rate Change Initial 7% July 1st 2018 2% January 1st 2019 5% April 1st 2020 Rate Level Group 2 3 1. Show the graph of the policies according to Calendar year method 2. Calculate areas effective in Calendar year 2019 3. Calculate the cumulative rate level index for each year 4. Calculate the average rate level index for 2019 which is the weighted average of the cumulative rate level indices calculated in part 3 5. Calculate the on-level factor for historical period.

The following table represents the overall change for calendar years 2018, 2019 and 2020 Overall Average Effective Date Rate Change Initial 7% July 1st 2018 2% January 1st 2019 5% April 1st 2020 Rate Level Group 2 3 1. Show the graph of the policies according to Calendar year method 2. Calculate areas effective in Calendar year 2019 3. Calculate the cumulative rate level index for each year 4. Calculate the average rate level index for 2019 which is the weighted average of the cumulative rate level indices calculated in part 3 5. Calculate the on-level factor for historical period.

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter5: Business And Economic Forecasting

Section: Chapter Questions

Problem 2E

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