Lb 0/2) Risk Tolerance Mini Case (homework) Tommy and Kristine Kraft (again) Tommy and Kristine Kraft want to begin saving for college education for their twins, Morgan and McKenna, who are having their rst birthday today. The rst payment will be made today, and they will begin college on their eighteenth birthday. Tommy and Kristine expect that each child will attend private college for ve years with the annual payment due at the beginning of each school year. The current cost of private college education is $50,000 per year per child. It is expected that the cost of college education will increase at an average ination rate of six percent per year. The CPI is expected to remain at three percent during this period. The Krafts currently have $50,000 invested in a mutual fund that investors in corporate bonds and they have $50,000 invested in an index fund. The $100,000 of investments is dedicated towards education. They have completed a risk tolerance questionnaire (Table 1) and you have up to date information on expected returns for various asset classes (see spreadsheet tab). For this case, you are to develop a spreadsheet that informs the Krafts of the returns they can anticipate under their current allocation model, and under a model designed based on their Risk Tolerance scores from the in-class case analysis. Note: The appendix provides you with instructions for scoring their RT, and in addition, provides recommendations for asset allocations based on that score and a client's time horizon. For this assignment, you will be using the Scenario Manager tool in Excel