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Surprise! Jamie Lee and Ross were stunned to find that their family of two has grown to a family of five! They were expecting twins,

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Surprise! Jamie Lee and Ross were stunned to find that their family of two has grown to a family of five! They were expecting twins, but when the babies were born, they discovered that they were actually the parents of triplets! Ross immediately had worries of being able to provide for the growing family diapers, formula, college expenses times threel What if something happened to him or Jamie Lee? How would the surviving parent be able to provide for such a large family? Jamie Lee and Ross decided to purchase life insurance for Ross because his is the higher income at this time and because it would be more devastating if his income was lost due to his death. They have allowed $9,900 for funeral costs. Calculate their living expenses for 6 months to include all monthly expenses, excluding credit card debt and entertainment Note that Ross's mother lives close and will be providing childcare to their triplets once Jamie Lee goes back to work at the bakery for half days. His mom will have a hired nanny to assist, which will cost them $1,350 a month. Use the table below to determine the amount Jamie Lee and Ross should use when shopping for life insurance. Each answer must have a value for the assignment to be complete Enter "O" for any unused categories Current Financial Situation Assets: Checking account Savings account Emergency fond savings account IRA balance Car (Jamie Lee Car(Ross) Liabilities: Student loan balance $64,000 544 800 $88.000 $73,000 Income: $4.400 Gross income Jamie Lee) $17,900 Net Income after taxes (Jamie Lee) $21000 Gross income (Ross) $26.900 Net Income after taxes (ROS) $13,400 Monthly Expenses: $20,900 Mortgage Property taxes $0 Homeowners Insurance $5,400 Utilities $8,900 Food Gas/maintenance Credit card payment Car loan payment Entertainment $1,510 $590 $390 Credit card balance $255 $595 Cor loans $370 $370 $308 $220 [1] [2] Use the "family need" method to complete 1. Yearly income x 5 2. Total approximate expenses above and beyond your daily living costs for you and your dependents (e.g. tutition, care for disabled child or parent) 3. Emergency fund needed (6 months of living expenses) 4. Expected funeral expenses 5. Total estimate of family's financial needs (sum of lines 1- 4) [31 [4] [5] 6. Total liquid assets (e.g. savings account, CDs, money market funds, other life insurance, pension plan death benefits, and Social Security benefits) [6] 7. Life insurance needs (total estimate of needs minus liquid assets) [7]

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