1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Iteru [2.4K]
2 years ago
5

Marc is 32 and married to Estella, who is 30. Estella is a stay-at-home mom to their two children, ages 1 and 4. They currently

live on Marc's salary of $110,000 (after taxes) that just about meets their household expenses. They would like to make sure that if Marc dies, they replace his income for 17 years, which would match their mortgage maturity and their kids would be well off to college; fund the children's college education ($300,000); establish a retirement fund for Estella ($250,000) to supplement Marc's Social Security retirement benefits; cover funeral costs ($10,000); and establish a 3-month emergency fund. If Estella dies, they want to have enough insurance to be able to pay for child care ($36,000 per year) and housekeeping services ($12,000 per year) for 17 years, to establish an emergency fund, and for funeral costs. They have the following financials:
Marc's employer provides a year's salary life insurance. Family is eligible for Social Security survivor benefits of $55,000 if Marc dies. Household expenses would be 20% lower if either parent dies. Current savings and investments of $23,000.
Using the financial needs approach, how much life insurance would you recommend?
A. $905,500 on Marc; $778,500 on Estella
B. $1,015,500 on Marc; $756,500 on Estella
C. $487,500 on Marc; $340,500 on Estella
D. $1,063,500 on Marc; $708,500 on Estella
Business
1 answer:
astraxan [27]2 years ago
6 0

Answer:

B. $1,015,500 on Marc ; $756,500 for Estella

Explanation:

Marc has current salary of $110,000 with which he runs the household expenses. If Marc dies then there should be more insurance coverage because he is the only person who earns in the house. Estella is a house wife and insurance coverage for her is lower than Marc because he will still be able to continue his earning.

You might be interested in
The process of alliance management begins with
bonufazy [111]
The process of alliance management begins with selecting the most appropriate partner. Typically, alliance managers work in partnership with other companies to achieve what their company can not achieve alone. An alliance manager needs to know all the aspects of his company's business.
3 0
3 years ago
Do you think that their economy will be strong when they have to write off debt from countries that have borrowed heavily from t
Kobotan [32]

Answer:

Yes

Explanation:

7 0
2 years ago
Match the term to the example
topjm [15]

Answer:

li siento no puesobhsdar las resouestav

3 0
2 years ago
Your shared monthly living expenses (rent + utilities) have been $750 per month, living with three
gizmo_the_mogwai [7]

Answer:

Your shared monthly living expenses (rent + utilities) have been $750 per month, living with three  other students. One of your roommates has to suddenly move out! How much will your share of  the expenses increase to, until you can find a new roommate?​

if $750= 1 month

?= 12 months

then we have; $9000 per year shared by 4 friends

9000/4= $2250 per person in a year and

2250/12= $187.5 per person in a month

If someone left, then we have

$750= 1 month

?= 12 months

$9000/3= $3000 per person in a year

$3000/12= $250 per person in a month

So therefore, the share of expenses monthly increases from $187.5 to $250

Explanation:

7 0
3 years ago
QUIZLET: Most foreign exchange comes to Central Africa from Group of answer choices plantation plant products forest products mi
andreyandreev [35.5K]

The activity that brings in the most foreign exchange to Central Africa is <u>Mining</u>.

<h3>How much mining is done in Central Africa?</h3>

Central African nations such as Central African Republic are well known to have a lot of natural resources.

Minerals available include copper, diamonds, limestone, uranium and others. As a result, mining these minerals brings foreign exchange to the region.

Find out more on international trade at brainly.com/question/15115779.

#SPJ1

3 0
1 year ago
Other questions:
  • In one day, Sue can change the oil on 20 cars or change the tires on 20 cars. In one day, Fred can change the oil on 20 cars or
    7·1 answer
  • Holman company owns equipment with an original cost of $95,000 and an estimated salvage value of $5,000 that is being depreciate
    8·1 answer
  • A customer opens a new margin account with the following position:
    14·1 answer
  • Paul believes that due to changing technology the minimum skill level that his company is requiring for technology-intensive job
    15·1 answer
  • Given that Jacob's Chocolates Company had beginning retained earnings of $4,000; net income during the period of $10,000; and di
    7·1 answer
  • Mahmoud wants to start a business making designer chairs. To do this he will need:​
    14·1 answer
  • Which answer choice is not one of the top 10 abusive lending practices?
    13·2 answers
  • A company reports the following: Sales $6,750,000 Average total assets (excluding long-term investments) 2,500,000 Determine the
    5·1 answer
  • uppose that Rowan, Inc. builds a high-speed, magnetically powered transportation system from New York to Los Angeles, which is t
    11·1 answer
  • In the short run, an unexpected increase in prices will:.
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!