- This topic has 2 replies, 2 voices, and was last updated 10 years ago by
.
Viewing 3 posts - 1 through 3 (of 3 total)
- Posts
Dear Tutor, based on the F6 note, the premium should be calculated like this premium x (51-lease time)/50, but in this question they calculate like this:Premium received 12,000
Less: 12,000 x 2% x (30 – 1) (6,960), would you please explain to me?
many thanksIf you have applied the method correctly you should establish the same answer as that is just a different way of deriving the same outcome where you deduct from the premium 2% for each year of the lease less1 – use whichever method you are happier with!
Viewing 3 posts - 1 through 3 (of 3 total)
- You must be logged in to reply to this topic.