John Wilson

John Wilson is a forty$-$year old computer programmer, husband, and father of four. He wants to

use the capital retention approach to determine how much life insurance he should purchase.

Because of his $$105,000$ salary and the need to care for the family's four children, his wife does not

work outside the home. The family's current annual living expenses are approximately $$75,000,$

including $$8,000$ in annual IRA contributions. John prefers to use the capital retention approach