An electric device delivers a current of [tex]$15.0 A$[/tex] for 30 seconds. How many electrons flow through it?
Answer (2)
Calculate the annual premium of the current policy: 15.38 × 900 = $13 , 842 .
Determine the coverage period: The policy covers until DeShawn is 58, and his children are adults.
Assess the face value: The $900,000 policy is 20 times his salary, which is very high.
Conclude that the policy has too high of a face value and does not cover his family long enough: d .
Explanation
Problem Analysis Let's analyze DeShawn's life insurance options. He is 38 years old, has a family with three young children, earns $45,000 per year, and plans to retire at 60. He purchased a $900,000 20-year term life insurance policy. We need to evaluate if this was a wise decision.
Calculate Current Premium First, let's calculate the annual premium for DeShawn's current policy. The premium is $15.38 per $1000 of face value, and he has a $900,000 policy. So, the annual premium is: 15.38 × 900 = $13 , 842
Coverage Period Next, let's consider the coverage period. The policy is a 20-year term, so it will cover him until he is 58 years old (38 + 20 = 58). This is close to his retirement age of 60. His children, who are currently 2, 4, and 6, will be 22, 24, and 26 when the policy expires. Thus, the policy covers them until they are adults.
Assessing Face Value Now, let's assess the face value of the policy. A common rule of thumb is to have life insurance coverage of 5-10 times your annual salary. In DeShawn's case: 5 times salary: 5 × $45 , 000 = $225 , 000 10 times salary: 10 × $45 , 000 = $450 , 000 His current policy of $900,000 is significantly higher than both these values. It provides coverage equivalent to 20 times his salary: $900 , 000/$45 , 000 = 20
Comparing Policy Costs Let's compare the cost of DeShawn's current policy to the other options. The annual premiums for a $900,000 policy would be: Whole Life: 22.40 × 900 = $20 , 160 20-Year Endowment: 30.05 × 900 = $27 , 045 DeShawn's current policy costs $13,842 annually, which is less expensive than both the whole life and 20-year endowment options.
Evaluating Options Now, let's evaluate the given options: a. DeShawn would be safer buying whole life policy. - While whole life provides lifelong coverage, it is more expensive. DeShawn's term policy covers him until near retirement and his children until adulthood, so this option is not necessarily 'safer' and is more costly. b. DeShawn would have more money in the long run if he invested in the 20-year endowment. - The 20-year endowment is the most expensive option, so it's unlikely he would have more money in the long run. c. DeShawn's current policy will cover his family for an adequate period of time at his current salary. - The policy covers his children until adulthood, but the face value is very high relative to his salary. It provides 20 times his salary. d. DeShawn's current policy has too high of a face value and does not cover his family long enough. - The face value is indeed high, but the policy covers his family until his retirement age and his children until adulthood.
Final Answer Considering the analysis, DeShawn's policy has a very high face value relative to his income, but it does cover his family for a reasonable period. Therefore, the best answer is that DeShawn's current policy has too high of a face value and does not cover his family long enough.
Examples
Life insurance helps protect your family's financial future if you pass away. For example, if a parent earning $50,000 a year dies unexpectedly, a life insurance policy can replace that income for a set number of years. This money can help cover living expenses, pay off debts, and fund education for the children. Determining the right amount of coverage involves considering factors like income, debts, and the number of dependents.
To find the number of electrons flowing through an electric device with a current of 15.0 A over 30 seconds, we first calculate the total charge using the formula Q = I × t, resulting in 450 C. Dividing this by the charge of a single electron (1.6 × 10^{-19} C) gives us approximately 2.81 × 10^{21} electrons. Therefore, about 2.81 × 10^{21} electrons flow through the device during this time.
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