Question

Alice and tommy have 3 dependent children. alice earns​ $125,000 per year. they are taking out insurance on alice for the next 30 years. tommy expects to get a​ 9.25% rate of return on the life insurance payoff. using the earnings multiple approach calculate how much life insurance they need to take out on alice.

Answer 1

$1005001

Step-by-step explanation:

Answer 2

$1,005,011

Step-by-step explanation:

Lets cal. The return rate amount first,

9.25/100×125,000=11,562.5