1. You and your spouse are in good health and have reasonably secure careers. Each of you makes about $26200 annually. You own a home with an $89000 mortgage, and you owe $25800 on car loans, $4300 in personal debts and $4600 on credit card loans. You have no other debts. You have no plans to increase the size of your family in the near future. Average funeral expenses for the area are $8400. Estimate your total insurance needs using the DINK method.

2.Mark and Parveen are the parents of three young children. Mark is a store manager in a local supermarket. His gross salary is $81800 per year. Parveen is a full-time stay-at-home mom. Use the easy method to estimate the familys life insurance needs.

3. Assume you are in the 25 percent tax bracket and purchase a 6.0 percent municipal bond.

Calculate the taxable equivalent yield for this investment.