Fin474:Estimate how much life insurance Tim and Allison should carry

Tim and Allison are married and have two children,
ages 4 and 7. Allison is a nonworking
spouse who devotes all of her time to household activities. Estimate how much life insurance Tim and
Allison should carry.
To estimate how much insurance Tim and Allison should carry, multiply
the number of years before their youngest child, 4, reaches 18 by $10,000.
Insurance needed = 14 x $10,000 or $140,000.