1. How would you rate the Mortimers' financial condition at this stage in their lives?

2. Given the fact that Pamela is 43 and Isaac is 45 and they have three children who will soon begin their post-secondary education, what investment goals would be most appropriate for this middle-aged couple?

3. According to Pamela, "We both know we should have started our investment program sooner, but we always seemed to have 'emergencies' that took what 'extra' money we had." Many investors feel the same way and, to compensate for a late start, often invest in highly speculative investments that promise large returns. Would you recommend such investments to a couple like the Mortimers? Explain your answer.

4. Describe the investment portfolio that you would recommend for the Mortimers. Be sure to include specific types of investments (stocks, bonds, mutual funds, etc.) as well as information about the risk factor(s) associated with each investment alternative.