Given the following parameters, what is the estimated withdrawal value after a year?

To determine the estimated withdrawal value after a year for a Variable Universal Life/Universal Life Plan (VUL/ULP), you need to understand how these policies operate regarding the accumulation of cash value and the potential impact of the underlying investment performance.

The correct answer, which suggests a withdrawal value of P401,107.58, is likely calculated based on the cash value accumulation of the policy after one year. This calculation typically involves taking into account the premiums paid into the policy, any expenses or fees deducted by the insurance company, and the investment performance of the cash value portion within the allowed investment options.

In a VUL/ULP policy, the cash value can vary based on market performance since it is often tied to various investment vehicles. Additionally, the insurance company deducts certain costs such as mortality charges and administrative fees, which affect the overall cash value available for withdrawal.

To arrive at the estimated withdrawal value correctly, a detailed breakdown would involve the initial premium, deductions for charges and fees, any interest accrued or gains from the investments, and finally, calculating what portion of the cash value remains available for withdrawal after one year.

If other choices provide values higher or lower than P401,107.58, they either do not account accurately