FIN 2063 – Group Case Assignment – Winter 2024 Term
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INSURANCE IN FINANCIAL PLANNING
CRN-55686-202302
– Group Case Assignment –
Part I Submitted by: Hriddhi Thakurathi - 101422658
Deep Prajapati - 101402374
1.
Cover Letter to Clients:
Hriddhi Thakurathi Financial Advisor
Dunder Mifflin Insurance Solutions
777 Augusta Avenue
Toronto,ON M5G 2K2
2024-03-20
Jack and Jill
123 Main Street
Toronto,ON M1J 3O4
Dear Jack and Jill,
Subject: Summary of Financial Planning Recommendations
I am pleased to present a summary of our findings and recommendations based on our thorough review of
your financial situation and objectives. Your key goals include securing the financial future for your children, Travis and Tracey, ensuring adequate retirement savings, optimizing your risk management strategies, and minimizing tax liabilities.
Our major findings indicate that you have a comprehensive insurance coverage in place, your retirement planning is on track with Canada Pension Plan (CPP) and Old Age Security (OAS) benefits, and your estate planning is well-structured with mirror wills and Powers of Attorney. However, we have identified that you have limited focus on tax planning, which presents an opportunity for potential optimization.
To address these findings, we recommend three urgent actions. First, we suggest reviewing your existing life insurance coverage to ensure its adequacy in meeting your family's needs. Second, we encourage you to consider tax planning strategies to optimize your savings. Finally, we advise evaluating your investment portfolios to ensure proper diversification.
We look forward to discussing these recommendations in detail and assisting you in achieving your financial goals.
Sincerely,
Hriddhi Thakurathi
Financial Advisor
Dunder Mifflin Insurance Solutions
thakurathihriddhi0707@gmail.com
2.Risk Management Process Outline:
1. Risk Identification
Example: We will conduct a comprehensive review of your financial situation, family dynamics, and lifestyle to identify potential risks that could impact your financial security and well-being. This may include risks such as premature death, disability, property damage, liability exposures, and potential long-
term care needs for your family members.
2. Risk Assessment
Example: For each identified risk, we will analyze the potential impact on your financial goals and the likelihood of occurrence. This will allow us to prioritize the risks and focus our mitigation efforts on the most critical areas. For instance, we may assess the probability and potential consequences of Jack or Jill becoming disabled and unable to work, or the impact of a natural disaster damaging your home.
3. Risk Mitigation Strategies
Example: Based on the risk assessment, we will recommend appropriate risk management strategies to protect you and your family. This may include implementing insurance coverage for life, disability, property, and liability risks to transfer potential losses. We will also explore strategies to reduce the likelihood or severity of certain risks, such as implementing home security measures or maintaining a healthy lifestyle.
4. Implementation and Monitoring
Example: Once the risk management strategies are in place, we will work with you to ensure they are properly implemented and maintained. This may involve regularly reviewing your insurance policies, updating coverage as needed, and adjusting your investment portfolio to align with your evolving risk tolerance and financial goals. We will also monitor any changes in your personal or financial circumstances that may require modifications to your risk management plan.
5. Ongoing Review and Adjustment
Example: As your life and financial situation evolve, we will periodically review your risk management strategies to ensure they continue to meet your needs. This may involve reassessing your risk profile, evaluating the effectiveness of your current risk management measures, and making any necessary adjustments to your insurance coverage, investment strategies, or other risk mitigation tactics.
By following this comprehensive risk management process, we can help you and your family identify, assess, and effectively manage the various risks you may face, ensuring your financial security and peace of mind. Please let me know if you have any questions or require further clarification on any aspect of this risk management approach.
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No. R-7539
Panorama Products
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486 5th Avenue
CUSTOMER'S
ORDER NO.
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The comparative balance sheets of Constantine Cavamanlis Inc. at the beginning and the end of the year 2020 are as follows.
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22,000
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$112,000
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$ 20
214, 200
14
91,800
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4. Jeff, age 50, is thinking of purchasing a S100,000 permanent life insurance policy to fund a gift to his
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© 2023 Edmentum. All rights reserved.
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Current assets
Total assets
Current liabilities
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Selected information from the financial statements of Sheridan's Coffee Brewers for the year ended December 31, 2014, appears below:
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Dividends
Net income
$165,600
506,000
69,000
82,800
800,400
55,200
123,280
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Chapter 5- Assignment
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Whirly Corporation's contribution format income statement for the most recent month is shown below:
Sales (8,100 units)
Variable expenses
Contribution margin
Fixed expenses
Net operating income
Total
$ 283,500
153,900
Per Unit
$ 35.00
19.00
129,600
$ 16.00
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$ 74,900
Hint
Print
Required:
References
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2. What would be the revised net operating income per month if the sales volume decreases by 50 units?
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Expressive Youths is a non-profit youth club in the Corporate Area that engages its members in
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