Business Managment
posted by Vanessa .
Problem 11.3  Kelly is a 35 year old single parent with a oneyearold son. She earns $45,000 a year as a marketing analyst and has employer paid group life insurance worth twice her annual salary. She also participates in her employer’s 401(k) program. She has the following financial assets:
· Checking account $2,000
· IRA Account $8,000
· 401(k) plan $25,000
· Individual life insurance $25,000
· Group life insurance $90,000
Her identified financial needs and objectives include:
· Funeral costs and uninsured medical costs $10,000
· Income support for her son $150,000
· Pay off car loan and credit cards $15,000
· College education fund for her son $150,000
Required:
1. Ignoring Social Security, how much life insurance do you recommend that Kelly purchase to meet her financial needs and objectives?
2. How much of the insurance need would you recommend be term life and how much should be permanent life insurance?
3. If Social Security will pay an $800 per month survivor benefit to Kelly’s son until he is 18 years old (for then next 17 years), how much life insurance do you recommend that Kelly purchase to meet her financial needs and objectives?
4. Format your analysis carefully and show your calculations.

I need help answering these questions
Respond to this Question
Similar Questions

Humanities
Please help me to create a priority list for the heart transplant for the following four potential organ recipients and explain your decision 1. A 72 year old woman, whose family depend on her help 2. A 32 year old man, who is currently … 
Health/ Basic Clinical Procedures
please check mey answer thanks which of the following patient's need special attention by the medical assisnt while measuring height A 19 year old B 77 year old C 15 year old D 25 year old I think it is C because they are young,however … 
math
A 28yearold man pays $192 for a oneyear life insurance policy with coverage of $150,000. If the probability that he will live through the year is 0.9989, what is the expected value for the insurance policy? 
statistics
The probability that a 30year old white male will live another year is .99842. What premium would an insurance company charge to break even on a 1year $1 million dollar term life insurance policy? 
Statistics
A life insurance company sells a term insurance policy to a 21yearold male that pays $100,000 if the insured dies within the next 5 years. The probability that a randomly chosen male will die each year can be found in mortality tables. … 
Probability
A 30 year old can buy $25,000 life insurance for $15/month. If the probability that the 30 year old will die is 0.14% find the insurance companies expected profit for the policy. (I want this in terms of their annual expectationnot … 
math
A 30 year old can buy $25,000 life insurance for $15/month. If the probability that the 30 year old will die is 0.14% find the insurance companies expected profit for the policy. (I want this in terms of their annual expectationnot … 
GP Calculus
Muthu started working at a company on 1 January 2002 with an initial annual salary of RM18,000. Every January, the company increased his salary by 5% of the previous year's salary. Calculate a)his annual salary, to the nearest RM, … 
computers in day care
an encyclopedia on cdrom would be most appropriste for a typical tow year old, three year old, four year old, eight year old 
PreCalculas help
Suppose you sign a contract for an annual salary of $50,000 with a guaranteed raise of 5% each year. 1.Write your salary for the next n years as a geometric sequence in explicit form. 2.What will your salary be in year 5?