5. Annie and Frank are married, with one toddler and another baby on the way. They have their emergency fund built up. Of their monthly budget, $1,200 a month can be allocated toward their savings for their next car, a down payment for a house, and a college savings account for their two children. Additionally, it would be nice if they could start putting aside a little for retirement. (LO 11-5)

a. Which instruments would you recommend they explore for each goal?

b. What amount would you suggest they allocate to each instrument over the next 24 months (which is when they hope to be moving into a new home as well as buying a car)? Why?