What is the approximate amount of life insurance needed

Assignment Help Financial Accounting
Reference no: EM132898695

Question 1: Layla meets with her insurance agent, Trong, to discuss her insurance needs. Layla has an after-tax income of $3,800 per month, her rent is $1,200, and her other expenses total $1,500 per month. Trong calculates how much life insurance Layla needs using the income replacement approach, adjusted for taxes. Assuming an annual investment return of 5% and an average tax rate of 30%, what is the approximate amount of life insurance needed?

Reference no: EM132898695

Questions Cloud

Operational workflows of system : In the unified modeling language (UML), usecase modeling captures different aspects of the operational workflows of a system.
University database : Provide an entity relationship model (ERM) that will describe the data structure that will store all data elements.
ITM11A1 IT Management Assignment : ITM11A1 IT Management Assignment Help and Solution, College of Business and Economics - Assessment Writing Service - Describe the system clock, and define clock
What will be the implications of taxing authority : What will be the implications of taxing authority will not closely monitor the compliance of the businesses in the country? How it will affect the government op
What is the approximate amount of life insurance needed : Assuming an annual investment return of 5% and an average tax rate of 30%, what is the approximate amount of life insurance needed?
Calculate plant stand count at harvest : A researcher carried out a field experiment on common beans fasceolus vulgaris l. If the following data was obtained from the experiment. Answer the following q
Identify courses of action that tamira could have taken : Tamira Nelson, the accountant for Picton Enterprises, Identify several courses of action that Tamira could have taken instead of the one she took.
Explain advantages of employees use personal smartphones : (a) Explain FIVE (5) advantages of allowing employees to use their personal smartphones for work?
Give lagging and leading indicators : Marvin and J wants to enter into a joint venture that would engage in merchandising of pets. Give 3 lagging and 3 leading indicators that they could use as Key

Reviews

Write a Review

Financial Accounting Questions & Answers

  Prepare two separate schedules computing cost of goods sold

Prepare two separate schedules computing cost of goods sold and supporting schedules showing the composition of the ending inventory under both cost flow assumptions.

  Dapper corporation had only one job in process

Dapper Corporation had only one job in process on May 1. The job had been charged with $1,250 of direct materials, $4,220 of direct labor, and $5,950 of manufacturing overhead cost

  What is the company cost of equity capital

Twice Shy Industries has a debt-equity ratio of 1.4. Its WACC is 9.4 percent, and its cost of debt is 6.7 percent. The corporate tax rate is 35 percent.

  Explain how transaction affects three financial statements

Explain how this transaction affects the three financial statements 1) when the company first buys the equipment and 2) over the next 4 years

  What is the percentage cost of the preferred stock

The stock pays a dividend of $6 per share, and sells for $40. The corporate tax rate is 21%. What is the percentage cost of the preferred stock?

  Who you consider to be an entrepreneur

Describe a person (famous or not) who you consider to be an entrepreneur. You do not have to name the person if this is a personal reference. Thinking about this person what makes them an entrepreneur? What skills do they have that sets them apart fr..

  Describe what is included in property plant and equipment

Describe what is included in Property, Plant, and Equipment. Are there any special rules related to valuation of this group of assets? Evaluate if there any gains or losses included in the income statement balance.

  How much is the break-even point in units

ABC Company produces tie racks. The estimated fixed costs for the year are $288,000, and the estimated variable costs per unit are $14. ABC expects to produce and sell 60,000 units at a price of $20 per unit. How much is the break-even point in units..

  What will be general ledger entries be for the outstanding

Summerhill Traders, What will be the general ledger entries be for the outstanding debt of Miss T Luna which must be written off as irrecoverable?

  Global finance discussion

Collaboration in general has always been a productive thing to do, but when talking about business it reinforces the ideas and decision making process by collaborating between peers

  What is the net present value of the project

Ables Enterprises has an investment proposed by a division manager. Here are the estimates from the proposal: The required investment for the project is $1,500. The investment will result in two years of cash inflows of $1,000 each, assumed at the en..

  Illustrate what is the best that can be achieved

describe whether the determination of the current value of the long-term assets is subjective or objective. Illustrate what is the best that can be achieved in such a determination?

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