User Account

All Pages

Social security long enough to be fully insured

Assignment Help Finance Basics
Reference no: EM13944156

Kate is a single parent who earns $40,000 per year. Her household expense are $28,000 per year.  If she were to die, she estimates that the costs of her death would be $10,000.  She has not participated in Social Security long enough to be fully insured.  She would also want her life insurance to provide an education fund for her 10-year-old twins and a lump sum for their continued care, which she estimates at $15,000 annually until they are 18.

Would an income-multiple approach result in Kate's purchase of sufficient life insurance?  Why or why not?

Reference no: EM13944156

Questions Cloud

What is the forecast cash position of jethro : What is the forecast cash position of Jethro Turnbull at the end of the budget year, assuming a current bank overdraft of £15,000?
Means and proportions for several groups : A marketing study conducts 60 significance tests about means and proportions for several groups. Of them, 3 tests are statistically significant at the 0.05 level. The study's final report stresses only the tests with significant results, not menti..
Modelling equation for tank height assuming : In Number 1 it was assumed that the input and output flow rates could be independently varied. Consider a situation in which the outlet flow rate is a function of the height of liquid in the tank. Write the modelling equation for tank height assum..
Algorithm to decide whether there are 2 integers sum equal x : Note that there is no restriction on integers in set P and integer x, that is, we are not restricting ourselves to positive or negative integers.
Social security long enough to be fully insured : Kate is a single parent who earns $40,000 per year. Her household expense are $28,000 per year.  If she were to die, she estimates that the costs of her death would be $10,000.  She has not participated in Social Security long enough to be fully insu..
Compare scholastic, and associationist viewpoints of reality : What are your thoughts on the content of this discussion below. How does this person interpret reality? Do you agree or disagree?
Discuss and define modigliani and miller capital structure : "Discuss and define Modigliani and Miller Capital structure irrelevance theory proposition 1 and 2 and state the difference it makes with tax and without tax "
Role of an entrepreneur of an organisation : Assume the role of an entrepreneur of an organisation that sells goods or services to the public. You would like to expand without the capital costs of establishing additional retail outlets and hay have decided to explore the possibility of expan..
Calculate a critical value for a simple hypothesis : Researchers will state the hypothesis they would like to confirm as alternative hypothesis, why? Use the following example to explain this question, why do you only need to calculate a critical value for a simple hypothesis i.e. μ = c, even if your..

Reviews

Write a Review

Finance Basics Questions & Answers

  What estimate can he make of the real rate of return

On the basis of the information that Carl has collected, what estimate can he make of the real rate of return?

  Is this new bid a better deal for aol than ciscos original

Natasha’s Flowers, a local florist, purchases fresh flowers each day at the local flower market. The buyer has a budget of $1000 per day to spend. Different flowers have different profit margins, and also a maximum amount the shop can sell. Based on ..

  Show your computations using two possible equity valuation m

ABC Co. With existing assets alone expects to generate annual income of $50,000 perpetually. It has 30,000 shares outstanding now and plans to issue 4,500 new shares one year from now at a price of $8.00 per share. The company's investment opportunit..

  What is the internal growth rate

The Dog House has net income of $3,450 and total equity of $8,600. The debt-equity ratio is 0.60 and the payout ratio is 9.5 percent. What is the internal growth rate?

  What was the delta ray brands net income after-tax

selling general and administrative expenses totaled $1,416,400 for the year, and cost of goods sold was $10,963,600 for the year. Assuming a federal income tax rate of 34%, what was the Delta Ray Brands net income after-tax?

  Determine the expected annual cost of financing with

assume that seminole inc. considers issuing a singapore dollar-denominated bond at its present coupon rate of 7 percent

  It requires an initial investment of 470 million and has a

beacon products co. is examining a new project. it requires an initial investment of 470 million and has a npv of 0.26

  How much the difference in the value of the iras

Two brothers each open IRAs in 2009 and plan to invest $3,000 per year for the next 30 years. John makes his first deposit on January 1, 2009, and will make all future deposits on the first day of the year. Bill makes his first deposit on December..

  What types of expenses might increase the net working capita

What types of expenses might increase the Net Working Capital (NWC) requirements as a result of a capital budgeting project?

  Earnings and common equity capital for wacc

Cost associated to retained earnings and common equity capital for WACC and Why is there a cost associated with retained earnings and What is Coleman's estimated cost of common equity using the CAPM approach?

  Tightness or looseness of the control system

In general, do you think that people respond to control systems or that control systems respond to people? In other words, will people generally conform to the tightness or looseness of a control system, or should the tightness or looseness of the..

  Suppose that the real risk-free rate of interest is 10

question 1.you are considering an investment in a aaa-rated u.s. corporate bond but you are not sure what rate of

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd