Question: For the following needs analysis case, answer the accompnaying questions by filling in the blanks needs Bellamy and Clarke are a very successful couple in

 For the following needs analysis case, answer the accompnaying questions by

For the following needs analysis case, answer the accompnaying questions by filling in the blanks needs Bellamy and Clarke are a very successful couple in their mid-30's. Bellamy is a security consultant and Clarke is the senior vice-president of marketing for an medical supplies company. They call you to discuss and advise on their insure * Bellamy's income (last calendar year) $84,000 . Clarke's income (last calendar year) $83,000 . Investments (current rate of interest 6 3%) $608,000 . RRSP'S $341,000 . Real Estate $1 23 Million . Cash $14,700 Mortgage $287,000 . Line of Credit (loan) $225,000 . Credit Cards $0 . Personal loans (cars, etc.) $113,000 . Investment Rate 6.30% Taxes on income 20% . Inflation 2% How much insurance does Clarke need using the capitalization of income approach for 20 years? $ Hint: Just based on replacing income (PMT) and using the depletion method s Scanned with CamScanner ch would be required to pay the last or final expenses of Bellamy or Clarke? $

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!