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OLEGan [10]
3 years ago
10

Jeff and Erica have two children. They plan to purchase life insurance using this formula: (18 minus Youngest child's age) × $10

,000. Which method are they using to determine their life insurance needs?
a. Nonworking spouse method
b. Easy method
c. Family need method
d. Formal calculation method
e. Dual income, no kids method
Social Studies
1 answer:
Fed [463]3 years ago
3 0

They are using Nonworking spouse method to determine their life insurance needs.

Answer: Option A

<u>Explanation:</u>

Non-working spouse methods refer the method which can use when there is a single earner in the family. Since there is formula where eighteen is the minimum age required to declare oneself as a major, the non-working spouse method can be used when one can get enough financial support until the children are eighteen years old. So concluding, this is the method that can be used to determine Jeff’s and Erica’s life insurance needs.

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