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/O Purchasing Additional Insurance. Nancy is a widow with two teenage children Nancy's gross income is $2,800 per month and taxes take about 24% of her income Using the income method, Nancy calculates she will need to purchase about eight times her disposable income in life insurance to meet her needs. Therefore, she will need to purchase life insurance in the amount of S204.288. Now assume that Nancy's employer provides her with two times her annual gross salary in life insurance. How much additional insurance should Nancy purchase? The amount of additional Insurance Nancy should purchase is $ (Round to the nearest dollar)

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O Purchasing Additional Insurance. Nancy is a widow with two teenage children Nancy's gross income is $2,800 per month and taxes take about 24% of her income Using the income method, Nancy calculates she will need to purchase about eight times her disposable income in life insurance to meet her needs. Therefore, she will need to purchase life insurance in the amount of S204.288. Now assume that Nancy's employer provides her with two times her annual gross salary in life insurance. How much additional insurance should Nancy purchase? The amount of additional Insurance Nancy should purchase is $ (Round to the nearest dollar)

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Transcribed Image Text: O Purchasing Additional Insurance. Nancy is a widow with two teenage children Nancy's gross income is $2,800 per month and taxes take about 24% of her income Using the income method, Nancy calculates she will need to purchase about eight times her disposable income in life insurance to meet her needs. Therefore, she will need to purchase life insurance in the amount of S204.288. Now assume that Nancy's employer provides her with two times her annual gross salary in life insurance. How much additional insurance should Nancy purchase? The amount of additional Insurance Nancy should purchase is $ (Round to the nearest dollar)

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Transcribed Image Text: O Purchasing Additional Insurance. Nancy is a widow with two teenage children Nancy's gross income is $2,800 per month and taxes take about 24% of her income Using the income method, Nancy calculates she will need to purchase about eight times her disposable income in life insurance to meet her needs. Therefore, she will need to purchase life insurance in the amount of S204.288. Now assume that Nancy's employer provides her with two times her annual gross salary in life insurance. How much additional insurance should Nancy purchase? The amount of additional Insurance Nancy should purchase is $ (Round to the nearest dollar)

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Given Monthly income = $2800 Annual income = 2800*12 = $33600 Income tax rate = 24% Tax amount = 33600*24% =$8064 After tax income = 33600-8064 = ... See the full answer