2 Antonio and Trina are a young couple with two small children, Jason (age four) and Claudia (age two). Trina is an account executive for a brokerage firm while Antonio has taken a couple years off from his profession as a civil engineer to work on an MBA degree. Right now Antonio and Trina's budget is very tight, as they are accustomed to living on two incomes, but Trina's employer has just circulated employer benefit information, so Antonio and Trina believe this is a good time to evaluate their life insurance needs. They have listed the financial information they believe is relevant. Current life insurance (Antonio) Current life insurance (Trina) Assets available for living expenses Present value of Social Security benefits if Antonio dies Present value of Social Security benefits if Trina dies Antonio's income before he went back for the MBA Trina's income Percent of income that needs to be replaced Projected final expenses Projected readjustment-period needs Projected debt-repayment needs Projected college-expenses Number of years income replacement is needed Assumed rate of return on invested funds Appropriate interest rate factor $75,000 $ 50,000 0 $132,397 $151,905 $ 45,000 $ 50,000 75 percent $7,000 $5,000 $ 15,000 $ 80,000 20 5 percent 12.5 Using a 7-year multiple-of-earnings approach, how much additional life insurance is needed on Trina's life? Refer to information in #1. How much additional life insurance is needed on Antonio's life using his former income and the 7-year multiple-of-earnings approach? Refer to information in #1. Using the needs-based approach, how much additional life insurance is needed on Trina's life?