data modelling.docx - Question 1 What do we know Bob\u2019s salary $95,000 for a nine-month salary Bob\u2019s income $95,000 for a nine-month salary(salary

data modelling.docx - Question 1 What do we know Bobu2019s...

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Question 1What do we know? Bob’s salary $95,000 for a nine-month salaryBob’s income: $95,000 for a nine-month salary (salary will increase by 4 to 15% per year after 12years in college)$21,111/year of research supporting$10,000-$20,000 from other activitiesRetirement fund:$9,5000/year from school$7,500/year before taxes (limit $10,000/year) from setting aside fundInvested funds:TIAA-CREF ($137,000)oLong-term bond 20% ($27,400)oGlobal Equity fund 80% (US equities 40% ($43,840) + non-US equities 60% ($65,760))Social SecurityAssetsProperty $140,000 – equity $40,000Short-term market mutual fund $50,000Income fund for daughter’s tuition $24,000Term life insurance $580,000LiabilitiesNo mortgage – no debtMonthly credit- card paymentWhat can we assume?-The market is stable with predicted inflation rate at 2%.-He does not lose his job sooner, and other of income will not change.-His wife, his daughter and he are still healthy. They currently do not have any significant medical

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