Author Question: Pete's wife earns 37,400 per year. If Pete dies, his family would require 56,700 to cover their ... (Read 146 times)

leo leo · **on:** Jun 24, 2018

Pete's wife earns 37,400 per year. If Pete dies, his family would require 56,700 to cover their living expenses. Some of the yearly expenses would be offset by 2,400 from stock dividends, but this is still not enough. How much insurance should Pete have to cover the shortfall, given a 13.1 prevailing interest rate? (Round to nearest 1,000)
A) 159,000
B) 129,000
C) 156,000
D) 147,000

Question 2

Find the amount of income tax withheld from Karen's semimonthly gross paycheck of 1,937.50 using the percentage method tables in Exhibits 9-1 and 9-2 from your text. Karen is married and claims 4 withholding allowances.
A) 159.50
B) 152.48
C) 97.75
D) 101.27