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gob is a 35 yearold mechanic. He and has wie. Joan (36), have one child, Mary, who is two years odd. They are revinwing thwir

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gob is a 35 yearold mechanic. He and has wie. Joan (36), have one child, Mary, who is two years odd. They are revinwing thwir Me insurance needs. Joan is a nurse by training but is busy at home looking after Mary. She would wive to way home uentil Marry is at leose 10 . However in the event of Bpbis death, she thinks she woild return to work half-timie. Factoring in chile-cire erpersies, hive thinks she would taine home about $12,000 a year. Their financial information is as follows: In the event of Bobs death, Joan would receive a fump sum CPP payment of $2,500, and Joan and Mary would live in their present: home. Their yearly living expenses would remain the same until joan's retirement age in about 24 years. In their analysis, Bob and Joan want to make sure that enough money would be Stt to fund 4 years of university education for Mary in 16 years. They estimate the need at that time will be $20,000 a year for 4 years. Assume that, if bob dies, the mortgage will get paid out. so that his dependants can live mortgage free. Using the earnings multiple approach (includes calculating the shortfall per year using time value of money math), determine how much extra insurance Bob needs, if any, to look after Joan until retirement and to see Mary through university. Assume a real rate of return of 3\%. Please show or explain your work. Create tables with two columns for this answer. gob is a 35 yearold mechanic. He and has wie. Joan (36), have one child, Mary, who is two years odd. They are revinwing thwir Me insurance needs. Joan is a nurse by training but is busy at home looking after Mary. She would wive to way home uentil Marry is at leose 10 . However in the event of Bpbis death, she thinks she woild return to work half-timie. Factoring in chile-cire erpersies, hive thinks she would taine home about $12,000 a year. Their financial information is as follows: In the event of Bobs death, Joan would receive a fump sum CPP payment of $2,500, and Joan and Mary would live in their present: home. Their yearly living expenses would remain the same until joan's retirement age in about 24 years. In their analysis, Bob and Joan want to make sure that enough money would be Stt to fund 4 years of university education for Mary in 16 years. They estimate the need at that time will be $20,000 a year for 4 years. Assume that, if bob dies, the mortgage will get paid out. so that his dependants can live mortgage free. Using the earnings multiple approach (includes calculating the shortfall per year using time value of money math), determine how much extra insurance Bob needs, if any, to look after Joan until retirement and to see Mary through university. Assume a real rate of return of 3\%. Please show or explain your work. Create tables with two columns for this

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