1. Calculate the total amount of money needed today to meet Julie's medical needs. Assume that she lives seven years and that the Reddings invest in bonds.
2. How much do the Reddings need to save on a monthly basis beginning at the end of this month toward a down payment in order to purchase their future home for $300,000? Assume they invest at an interest rate equal to expected return on the S&P 500 and pay all associated taxes out of their current budget.
3. Does the trust fund of $100,000 belong on the Reddings' Statement of Financial Position?