Warning

Info

Warning

Info

Warning

Info

LSDefine

Simple English definitions for legal terms

actuarial method

Read a random definition: Law Lord

A quick definition of actuarial method:

The actuarial method is a way to figure out how much interest you have to pay on a loan. It uses the loan's annual percentage rate to calculate the finance charge for each payment period. After you make a payment, the money is first used to pay off the interest and then the principal. Actuarial present value is the amount of money needed to buy an annuity that will pay a certain amount of money each month for the expected remaining life of the person receiving it.

A more thorough explanation:

The actuarial method is a way to calculate the amount of interest on a loan. It uses the loan's annual percentage rate to figure out the finance charge for each payment period. After each payment is made, the amount is first credited to interest and then to principal.

For example, let's say you take out a loan with an annual percentage rate of 5%. Each month, you make a payment of $100. The actuarial method would calculate the interest on the loan for that month, which would be $4.17. The remaining $95.83 would then be applied to the principal balance of the loan.

The actuarial present value is the amount of money needed to purchase an annuity that would generate a specific monthly payment for the expected remaining life span of the recipient.

For example, let's say you want to purchase an annuity that will pay you $1,000 per month for the next 20 years. The actuarial present value would be the amount of money you need to invest now to ensure that you receive those payments for the next 20 years.

These examples illustrate how the actuarial method and actuarial present value are used in finance to calculate interest and plan for future payments.

actuarially sound retirement system | actuarial surplus

Warning

Info

General

General chat about the legal profession.
main_chatroom
👍 Chat vibe: 0 👎
Help us make LSD better!
Tell us what's important to you
MIAMI A
[] AromaticTroubledDormouse
20:55
How does one know if they are UR1 or UR2?
[] AromaticTroubledDormouse
20:56
CONGRATS MACAQUE!
TY
got a random stanford email and almost had a heart attack
ALSO CONGRATS!
Congrats1!
21:15
Miami A, yall I'm so excited I could cry.
21:15
Feel like I can finally stop holding my breath!! Whew!!!
[] baddestbunny
22:16
every time I get accosted by a strange man who follows me around because my male coworkers were too busy talking to walk me back to my car I get closer to saying we need to bring back traditional gender roles
Dkk
22:32
Nice! @Macaque
Dkk
22:32
@Aromatic, Have to guess.
Dkk
22:33
That sucks @Bunny do you have to go to the hospital?
[] baddestbunny
22:40
I said accosted not assaulted
23:35
guys. my notre dame address just went long is this good or bad
1a2b3c4d26z
23:37
Oooooo me too
23:37
omg is this good or bad
Dkk
23:47
Idk if gender roles are gunna fix that then.
23:49
it looks like most people who applied in october last cycle didn't get a decision until january... does it even mean anything that our addresses went long??
hows ED 2 compared to ED 1?
Dkk
0:10
No idea
windyMagician
0:34
reporting live to say my ndls address also went long
does it mean anything ^
Dkk
2:21
NDLS and Fordham took a very long time last year. It's good info for people to know.
[] baddestbunny
4:29
let’s get after it boys and girls
Dkk
5:21
I gtg to bed soon.
Dkk
5:22
Big day today. Gunna be a crazy one. I will sleep through the first half.
good morning lsd it is 5 am EST
also jazzy my ndls address went long ages ago i sadly do not think it means anything
my stanford address also went long LOL i think at most it's an indicator it's under review
LSD+ is ad-free, with DMs, discounts, case briefs & more.