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Critical Thinking Case 1 The Useltons Struggle with Two Investment Goals Like many married couples, Gene and Stacey Uselton are trying college; and (2) a

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Critical Thinking Case 1 The Useltons Struggle with Two Investment Goals Like many married couples, Gene and Stacey Uselton are trying college; and (2) a retirement nest egg for themselves. They years old, Gene and Stacey have when they reach age 65. Both Gene and Stacey work, and together they currently earn about $90,000 a year their best to save for two important investment objectives: (1) an education fund to put their two children through want to have set aside $31,000 per child by the time each one starts college. Given that their children are now 10 and 12 6 years remaining for one child and 8 for the other. As far as their retirement plans are concerned, the Useltons both hope to retire in started a college fund by investing $6,000 a year in bank CDs. That fund is now worth $ 34,000- enough to put one child through an in-state They also have $53,000 that the they'l easily be able to continue putting away $6,000 a year of school. The Useltons are fairly conservative investors and feel they can probably earn about 7 percent on their money. (ignore taxes for the purpose of this y received from an inheritance invested in several mutual funds and another $15,000 in a t ax-sheltered retirement account. Gene and Stacey feel for the next 20 years. in fact, Stacey thinks theyll be able to put away even more, particularly after the children are out 1.1 to determine whether the Useltons have enough money right now to meet their children's educational needs. That is, will the $34,000 they've ed so far be enough to put their children through school, given they can invest their money at 7 percent? Remember, they want to have $31,000 set aside for each child by the time each one starts college. 2. Regarding their retirement nest egg, assume that no additions are made to either the $53,000 they now have in mutual funds or to the $15,000 in the retirement account. Hom much would these investments be worth in 20 years, given that they can earn 7 percent? Round your answer to the nearest cent. 3. Now, if the Useltons can invest $6,000 a year for the next 20 years and apply all of that to their retirement nest egg, how much would they be able to accumulate given their 7 percent rate of return? Round your answer to the nearest cent. Critical Thinking Case 1 The Useltons Struggle with Two Investment Goals Like many married couples, Gene and Stacey Uselton are trying college; and (2) a retirement nest egg for themselves. They years old, Gene and Stacey have when they reach age 65. Both Gene and Stacey work, and together they currently earn about $90,000 a year their best to save for two important investment objectives: (1) an education fund to put their two children through want to have set aside $31,000 per child by the time each one starts college. Given that their children are now 10 and 12 6 years remaining for one child and 8 for the other. As far as their retirement plans are concerned, the Useltons both hope to retire in started a college fund by investing $6,000 a year in bank CDs. That fund is now worth $ 34,000- enough to put one child through an in-state They also have $53,000 that the they'l easily be able to continue putting away $6,000 a year of school. The Useltons are fairly conservative investors and feel they can probably earn about 7 percent on their money. (ignore taxes for the purpose of this y received from an inheritance invested in several mutual funds and another $15,000 in a t ax-sheltered retirement account. Gene and Stacey feel for the next 20 years. in fact, Stacey thinks theyll be able to put away even more, particularly after the children are out 1.1 to determine whether the Useltons have enough money right now to meet their children's educational needs. That is, will the $34,000 they've ed so far be enough to put their children through school, given they can invest their money at 7 percent? Remember, they want to have $31,000 set aside for each child by the time each one starts college. 2. Regarding their retirement nest egg, assume that no additions are made to either the $53,000 they now have in mutual funds or to the $15,000 in the retirement account. Hom much would these investments be worth in 20 years, given that they can earn 7 percent? Round your answer to the nearest cent. 3. Now, if the Useltons can invest $6,000 a year for the next 20 years and apply all of that to their retirement nest egg, how much would they be able to accumulate given their 7 percent rate of return? Round your answer to the nearest cent

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