1. Apply What You've Learned - Life Insurance Planning Scenario: You are 30 years old with a gross annual income of $55,000. You are married with 2-year-old twin children. Your spouse is 30 years of age. You estimate that your final expenses for funeral, burial, and other expenses will be $15,000. You currently owe $185,000 on a mortgage, $25,000 on a car loan, and $20,000 in credit card debt. You would like to replace your income for 30 years, and believe that your insurance proceeds can be invested to earn a 5% return. You would also like a minimum of $60,000 for each child be placed in a college fund. You do not anticipate a need to fund a readjustment period for your spouse. You currently have a $80,000 whole life insurance policy. Two procedures may be used to estimate your life insurance requirements. The more accurate method is the multiple-of-earnings approach It is considered the better method because it: considers all of the factors that might affect your potential level of need. offers a simplified way of evaluating your potential level of need. Which of the following are potential financial resources that could be used to offset your family's costs and expenses after your death? Check all that apply. The sale of physical assets, such as a house or a vehicle. Existing financial assets, including your savings, investment, and retirement accounts.