Kevin and Kathy Woo are 38 years old and have one son, age 9. Kevin is the primary earner, making $140,000 per year. Kathy does not currently work. The Woos have decided to use the needs analysis method to calculate the value of a life insurance policy that would provide for Kathy and their son in the event of Kevin's death. Kevin and Kathy estimate that while their son is still living at home, monthly living expenses for Kathy and their child will be about $4,000 (in current dollars). After their son leaves for college in 9 years, Kathy will need a monthly income of $3,300 until she retires at age 65. The Woos estimate Kathy's living expenses after 65 will only be $2,900 a month. The life expectancy of a woman Kathy's age is 87 years, so the Woo family calculates that Kathy will spend about 22 years in retirement. Using this information, complete the first portion of the needs analysis worksheet to estimate their total living expenses. Life Insurance Needs Analysis Worksheet Name of insured Kevin and Kathy Woo Step 1: Financial resources needed after death 1. Annual living expenses and other needs a. b. C. d. Date July 31, 2015 Monthly living Period 1 $4,000 Period 2 Period 3 expenses Net yearly income needed (1a x 12) Number of years in time period Total living needs per time period (1b x 1c) 9 $ $ 18 22 Total living expenses (add Line 1d for each period to check your total): $1,910,400