Q:

Some insurance companies charge more if you smoke cigarettes. The difference in the annual life insurance premiums paid by a 35-year-old smoker and a 35-year-old non-smoker, if they both take out a $100000 policy for 20-year term is __

Accepted Solution

A:
The difference between the smoker and the non-smoker is $151

1000 x $7.85 = $785
1000 x $9.36 = $936
= $151Β