Unable to save money or plan past the next paycheck

Assignment Help Financial Management

Reference no: EM131842576

Your elderly uncle has four children, and plans to divide his earthly possessions equally between them when he dies. He has special directio ns for the youngest child, who has a communication disorder. Although this son has a steady job, he is unable to save money or plan past the next paycheck.

Your uncle wishes to give this son his full inheritance, but pay it to him monthly, in a con stant p ayment, for as long as the son lives. He has told you privately that he hopes that payment can be at least $1000/month. Assuming long-term investments can safely earn 4% compounded daily, how much must your uncle’s total estate be worth to fulfill his hope?

Reference no: EM131842576

Questions Cloud

Methods of other philosophers we have studied : How does it differ from the methods of other philosophers we have studied, such as Russell and Descartes?

Explain the pros or cons on the us criminal justice system : How does your position enable the criminal justice system in the apprehension, conviction, and punishment of those who break the law?

How did kant kill metaphysics : Do you agree or disagree that 'what is real' is forever unknowable and will always be tainted by human categories, frameworks and ways of looking at reality?

Disputes between rationalism and empiricism : How did Kant's theory of knowledge solve some of the disputes between rationalism and empiricism in the 1600's and 1700's?

Unable to save money or plan past the next paycheck : Although this son has a steady job, he is unable to save money or plan past the next paycheck.

Kant ethical theory and bentham-mil : Between Hobbes' ethical egoism, Kant's ethical theory and Bentham & Mill's ethical theory of utilitarianism. Of these three, which one(s) do you find yourself u

What ethical concerns does keith need to consider : Keith has been asked to conduct a psychological evaluation on an adolescent female. Her teachers and parents are concerned that her grades have been dropping.

Kant emphasized human rationality alone : Kant emphasized human rationality alone, while the utilitarians emphasized reasoning about feelings of pleasure and pain.

Divine command ethical theory : A major new ethical theory is introduced & defended -- the Divine Command Ethical Theory. Although Augustine introduced 'love' into the philosophical

User Account

All Pages