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Retirement And Estate Planning.edited

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Page 485
Questions1
As Jamie Lee and Ross review their assets, can you tell them which will be valuable to them
for income as retirement approaches?
Jamie Lee and Ross ought to deliberate on endowing in bonds and shares. Bonds are well-thought-
out to be unwavering because their possibility of losing money is extremely low. Bonds are a sure
investment that will warrant consistent dividends, which assist them in creating a stable,
foreseeable flow of earnings from what they saved. The best place to park emergency funds or
money is in Short-term bonds because they do not entail an investor to tie up their cash for
elongated phases. They are appropriate for individuals to aspire to spend their endowed funds in
the imminent future. Bonds are measured to be tax saving as well- some specific bonds offer duty-
free earnings. Shares shall be significant securities once the GDP progresses; stocks escalate in
price as they rake in extra incomes and profits.
Question 2
Jamie Lee and Ross estimate that they will have $1 million in liquid assets to withdraw from
at the start of their retirement. They plan to be in retirement for 30 years. Using Exhibit 14-
5 how much do you think Jamie Lee and Ross can withdraw each month and still leave their
next egg intact? How much can they withdraw each month that will reduce their nest egg to
zero?
Lee and Ross can take out $3,000 every month and allow their subsequent cell whole, and take out
$ 30,000 every month, leading to a reduction of their total egg to nothing.

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Student’s name Lecturer’s name Course title Date of submission Page 485 Questions1 As Jamie Lee and Ross review their assets, can you tell them which will be valuable to them for income as retirement approaches? Jamie Lee and Ross ought to deliberate on endowing in bonds and shares. Bonds are well-thoughtout to be unwavering because their possibility of losing money is extremely low. Bonds are a sure investment that will warrant consistent dividends, which assist them in creating a stable, foreseeable flow of earnings from what they saved. The best place to park emergency funds or money is in Short-term bonds because they do not entail an investor to tie up their cash for elongated phases. They are appropriate for individuals to aspire to spend their endowed funds in the imminent future. Bonds are measured to be tax saving as well- some specific bonds offer dutyfree earnings. Share ...
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Anonymous
Really useful study material!

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