2. Tables for Computing the Present Worth of Annuities. The first table of mortality still in use was published by Dr. Price in 1771 as the "experience of life in Northampton." It is not employed in making inheritance tax calculations, however.

In 1789 Dr. Edward Wigglesworth of Harvard University prepared a mortality table which is now used for inheritance tax purposes only in the state of Kentucky.

In 1815 Dr. Joshua Milne prepared and published the Carlisle tables of mortality.

In 1838 a committee of English actuaries prepared a table of mortality based on the combined experience of seventeen insurance companies.

In 1868 Sheppard Homans prepared the American Experience table based upon the experience of the Mutual Life Insurance Company.

The last three tables, as we have seen, are still in general use in the different states.

THE TABLES

The present worth of an annuity of one dollar at any given age at 4 per cent, 5 per cent, and 6 per cent is shown by the following tables to which reference is made by the table showing what standard is adopted in the several states:

Table a. Actuaries' combined table at 4 per cent.
Table b. Actuaries' combined table at 5 per cent.
Table c. American experience table at 4 per cent.
Table d. American experience table at 5 per cent.
Table e. Carlisle table at 5 per cent.

Table f. Carlisle table at 6 per cent.

Table g. American experience table of mortality and

expectation of life.

TABLE A

ACTUARIES' COMBINED EXPERIENCE TABLE ON BASIS OF 4 PER

TABLE B

ACTUARIES' COMBINED EXPERIENCE TABLE WITH INTEREST AT 5 PER CENT PER ANNUM.

TABLE C.

AS ISSUED BY TAX COMMISSIONER OF MASSACHUSETTS. AMERICAN EXPERIENCE TABLES.- DISCOUNTED AT 4 PER CENT COMPOUND INTEREST.

[Explanation: To find the present worth of the life estate of a person, multiply the principal of the fund by the figure in column 1 opposite the age of the person at the nearest birthday. Example: A, who is 26 years, 4 months old at the death of B, is given by B's will a life estate in property valued at $20,000. Solution: Opposite age 26 in column 1 is .7143; multiply .7143 X $20,000 = $14,286.

To find the present worth of an annuity of a given amount for life, multiply the annuity by the figure in column 2 opposite the age at the nearest birthday of the person receiving the annuity. Example: A, who is 25 years, 7 months old at death of B, is given by B's will an annuity of $800 for life. Solution: Opposite age 26 in column 2 is 17.857; multiply 17.857 × $800 = $14,285.60.]

If an annuity is payable semiannually, add .250 to the annuity value in column 2.
If an annuity is payable quarterly, add .375 to the annuity value in column 2.
If an annuity is payable monthly, add .458 to the annuity value in column 2.