Total insurance needs using the dink method

Assignment Help Financial Management
Reference no: EM13937998

You and your spouse are in good health and have reasonably secure careers. Each of you makes about $28600 annually. You own a home with an $85800 mortgage, and you owe $15400 on car loans, $5700 in personal debts and $5800 on credit card loans. You have no other debts. You have no plans to increase the size of your family in the near future. Average funeral expenses for the area are $7800. Estimate your total insurance needs using the DINK method. (Round your answer to the nearest whole number. Do not include the comma, period, and "$" sign in your response.)

Reference no: EM13937998

Questions Cloud

Estimate the familys life insurance needs : Mark and Parveen are the parents of three young children. Mark is a store manager in a local supermarket. His gross salary is $74200 per year. Parveen is a full-time stay-at-home mom. Use the easy method to estimate the family’s life insurance needs.
Structure of binary trees to make a family tree : Create a program that uses the structure of binary trees to make a family tree of two generations.
From a rectangular sheet of metal measuring : From a rectangular sheet of metal measuring 120 mm by 75mm, equal squares of side x are cut from each of the four corners. The remaining flaps are then folded upwards to form an open box.
What must coupon rate be on these bonds : DMA Corporation has bonds on the market with 11.5 years to maturity, a YTM of 7.2 percent, and a current price of $1,054. The bonds make semi annual payments and have a par value of $1,000. What must the coupon rate be on these bonds?
Total insurance needs using the dink method : You and your spouse are in good health and have reasonably secure careers. Each of you makes about $28600 annually. You own a home with an $85800 mortgage, and you owe $15400 on car loans, $5700 in personal debts and $5800 on credit card loans. Estim..
How plants are able to overcome effect of cyanide poisoning : The presence of low levels of cyanide arrests cellular respiration in animals, yet has little or no effect on plants. Explain how plants are able to overcome the effect of cyanide poisoning.
Advise the directors of flyaway : Identify the issue/s in the question by discussing them in order of importance - Be structured in a clear and logical manner that it is easy to read and understand.
Control terminologies with the aid of respective plotting : Explain the following control terminologies with the aid of respective plotting
Relate how taxes can affect investment decisions : Using your knowledge of after tax engineering economic analysis on a company's investment decisions and the information in the articles, relate how taxes can affect investment decisions. The Laffer curve basically relates how a 5% increase in a tax r..

Reviews

Write a Review

Financial Management Questions & Answers

  What is the current value of the annuity

A five-year annuity of ten $8,000 semi annual payments will begin 9 years from now, with the first payment coming 9.5 years from now. If the discount rate is 8 percent compounded monthly, what is the value of this annuity 5 years from now? What is th..

  The cost incurred is directly related to production

Expenses can be categorized by whether the cost incurred is directly related to production or not. Which of the following is correct? If directly related, it will not change with the production level, thus called Fixed Cost. If directly related, it w..

  A synthesis of contemporary market orientation perspectives

A synthesis of contemporary market orientation perspectives

  What specific investment actions would you suggest

A hedge fund has a capital of $100 million and invests in a long/short strategy on the U.S. equity market, with a long bias. It follows a 150/50 strategy meaning 150% long and 50% short. Shares can be borrowed from a primary broker. The primary broke..

  Guaranteed annual effective interest rate

Athlete Kalen wishes to retire at age forty-five and receive annual birthday payments of $40,000 beginning on his forty-fifth birthday. After his death, the payments on the anniversary of his birth should go to his heirs.

  Callable bond-what is the yield to call for bonds

Alex plans to purchase a callable bond of Horizon Inc. The bond is 20-year to maturity, carry 13.5% annual coupon, paid semi-annually, and have a$1,000 par value. The bond is selling now for $1,287 each. The bond can be called back in 7 years at a ca..

  Discuss the impact these reimbursement systems

Reform of reimbursement systems for healthcare services provided to ambulatory patients began in 1992. Spurred by effective curbs in the acute care setting, Congress authorized DHHS to design and implement reformed payment systems in many settings fo..

  Begin by constructing time line

A project has an initial cost of $63,700, expected net cash inflows of $11,000 per year for 11 years, and a cost of capital of 12%. What is the project's NPV? (Hint: Begin by constructing a time line.) Do not round your intermediate calculations. Rou..

  Using the free cash flow method of valuation

Using the free cash flow method of valuation, an analyst determines the value of Company A's stock to be $12 and the value of Company B's stock to be $15. Other things be held constant, what could account for the higher valuation for Company B?

  Present value of these payment at a nominal annual interest

Suppose that a land owner receives annual royalty payment of $2000 at the end of first year, $2200 at the end of second year, $1900 at the end of third year, $2500 at the end of forth year, and $1500 at the end of fifth year.

  What is the expected return for the project

What is the expected return for the project? If the required rate of return is 13%, should they proceed with the project? Why? Does this mean Project B is automatically eliminated from consideration?

  What is the firms aftertax cost of debt

Electronic Products has 35,000 bonds outstanding that are currently quoted at 102.3. The bonds mature in 11 years and carry a 9 percent annual coupon. What is the firm's aftertax cost of debt if the applicable tax rate is 30 percent?

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!

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