Spouse A Spouse B Market wages 80,000/year 20,000/year Home production 12,000/year 40,000/year Expenses (net of added 50,000/year 50,000/year income) Debt/funeral costs 220,000 220,000 This household has two children and wants to have them financially provided for over the next 25 years in the case of premature death of either spouse. How much life insurance should the household purchase for Spouse A if doing the income approach using a 3% rate? Please select the number closest to your answer
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- What does Shelley need to save monthly to make sure she is on track to reach her retirement goal of having $440,000 saved by the time she reaches age 65? She is 48 years old, has been contributing $400 per month and has $180,000 in her RRSP. Assume she will make an annual return of seven percent. Question 12Select one: a. $1275 b. $336 c. $681 d. $1133es of Finance | ZSpring20 spring21 Time left 1:03:51 You intend to buya farm in seven years and plan to have saved OMR 75,200 for a down payment. How much money would you have to place today into an investment that earns 8% per year to have enough for your desired down payment? O a 43,878.48 Ob. 128,879.59 O. 57,440.67 Od. 31,934.26 Oe 88,810.65 NEXT PAGE 28 Finis CONTACT US P Type here to search 144 %23 prt sc delete 4 6. 7. V. 8 - backspace T 44 G 13 K C M 10 pause alt ctrlQuestion 8 of 11 > -/ 1 View Policies Current Attempt in Progress Kimberly and Matthew want to begin saving for their baby's college education. They estimate that they will need $139000 in eighteen years. If they are able to earn 3% per annum, how much must be deposited at the end of each of the next eighteen years to fund the education? O $6387. O $5937. O $9704. O $10107. eTextbook and Media Save for Later Attempts: 0 of 3 used Submit Answer I!!
- URE ic Gail Trevino expects to receive a $580,000 cash benefit when she retires seven years from today. Ms. Trevino's employer has offered an early retirement incentive by agreeing to pay her $310,000 today if she agrees to retire immediately. Ms. Trevino desires to earn a rate of return of 10 percent. (PV of $1& and PVA of $1) Note: Use appropriate factor(s) from the tables provided. raw Required a. Calculate the present value of the $580,000 future cash benefit. Assuming that the retirement benefit is the only consideration in making the retirement decision, should Ms. Trevino accept her employer's offer? Note: Round your final answer to the nearest whole dollar value. Present value Should Ms. Trevino accept the offer?Question 15 A family spends $42000 in a year for living expenses. If prices increase 3% per year for the next 2 years, what amount will the family need for their living expenses for a year after 2 years? Your Answer: AnswerQUESTION 7 John plans to make semi-annual savings contributions of $17,694.58. His first semi-annual savings contribution is expected later today. John expects to earn 7.41 percent per year. How many semi-annual savings contributions of $17,694.58 does John need to make in order to have $417,000.00? 16.79 payments O 14.13 payments O 17.25 payments O 13.51 payments O the answer cannot be obtained based on the given information
- Q21 Consider that you are 45 years old and have just changed to a new job. You have $145,000 in the retirement plan from your former employer. You can roll that money into the retirement plan of the new employer. You will also contribute $6,700 each year into your new employer’s plan. If the rolled-over money and the new contributions both earn a return of 9 percent, how much should you expect to have when you retire in 20 years? (Do not round intermediate calculations and round your final answer to 2 decimal places.) FUTURE VALUE?O B. $82,500.00 OC. $7,000.00 OD.$5,500.00 QUESTION 18 Lucy bought a house for $100,000. Lucy's annual cost of ownership net of tax savings is exactly equal to the annual rent she would have paid to live in the same house. The house price grows 4.5% annually (compounded annually). Lucy will sell the house in one year. What is Lucy's annualized IRR? Click Save and Submit to save and submit. Click Save All Answers to save all answers.Q5 Consider that you are 35 years old and have just changed to a new job. You have $86,000 in the retirement plan from your former employer. You can roll that money into the retirement plan of the new employer. You will also contribute $4,200 each year into your new employer’s plan.If the rolled-over money and the new contributions both earn a 7 percent return, how much should you expect to have when you retire in 30 years? (Do not round intermediate calculations and round your final answer to 2 decimal places.) FUTURE VALUE?
- CH9HW i Help Save & Exit Submit a. A friend of yours, Grace, wants to purchase a house in five years. To save for the house, Grace decides to deposit $140,000 in a savings account on January 1 of this year. The savings account will earn 8 percent annually. Any interest earned will be added to the fund at year-end (rather than withdrawn). b. At the end of each year, a different friend, Claire, plans to deposit $10,400 in a savings account. The account will earn 11 percent annual interest, which will be added to the fund balance at year-end. Claire will make her first deposit at the end of this year. (FV of $1, PV of $1, FVA ofQuestion content area top Part 1 (Saving for retirement—future value of an annuity) Selma and Patty Bouvier are twins and both work at the Springfield DMV. Selma and Patty Bouvier decide to save for retirement, which is 35 years away. They'll both receive an annual return of 8 percent on their investment over the next 35 years. Selma invests $1,700 per year at the end of each year only for the first 10 years of the 35-year period—for a total of $17,000 saved. Patty doesn't start saving for 10 years and then saves $1,700 per year at the end of each year for the remaining 25 years—for a total of $42,500 saved. How much will each of them have when they retire? Question content area bottom Part 1 a. How much will Selma have when she retires? $enter your response here (Round to the nearest cent.) Part 2 b. How much will Patty have when she retires? $enter your response here (Round to the nearest cent.)Assume your goal in life is to retire with one million dollars. How much would you need to save at the end of each year if interest rates average 4% and you have a 25-year work life? Question 7Answer a. $40,000 b. $24,012 c. $200,204 d. $752,952