5. Leigh, Blake, and Nicole’s grandparents were over to the house visiting for brunch.

After sharing the story of Wild Willie, Smart Sam, and Dedicated Dave, the grandparents offered each grandchild a gift of $10,000 if each could present a financially responsible plan for how to use the gift. In light of their intermediate-term goals, what plans would you recommend Leigh, Blake, and Nicole offer?

The other housemates, upon hearing the story, decided they would begin to set aside

$20 each week to put toward savings. Keeping in mind the intermediate goals of each housemate and checking www.bankrate.com for the current options in today’s market, create a savings plan for each member of the household (i.e., lump sum, annuities, what they would put away and when, and what each option would deliver in savings in the end).

A summary of the housemates’ goals can be found in the first Continuing Case problem in Chapter 1.