Mr. and Mrs. L have become very busy. The pet salon of Mrs. L has grown and the work responsibilities of Mr. L have also increased. They share burden to transport B to cheerleading practice and T to soccer practice. Mr. and Mrs. Lawrence are concerned that they don’t have much time to monitor their investments and look forward to have some alternatives to manage them. They were recommended to invest in mutual funds by their friends and they have planned to meet a financial advisor to learn about the in and out of this type of investment. Characters in the case: Mr. and Mrs. L. Adequate information: Given, Monthly gross income is $8,000. Living expenses are $6,500. Assets are $205,000. Liabilities are $105,000. To determine: Reasons to purchase mutual funds by investors.

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Chapter 16, Problem 1CC

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Case summary:

Mr. and Mrs. L have become very busy. The pet salon of Mrs. L has grown and the work responsibilities of Mr. L have also increased. They share burden to transport B to cheerleading practice and T to soccer practice. Mr. and Mrs. Lawrence are concerned that they don’t have much time to monitor their investments and look forward to have some alternatives to manage them. They were recommended to invest in mutual funds by their friends and they have planned to meet a financial advisor to learn about the in and out of this type of investment.

Characters in the case: Mr. and Mrs. L.

Adequate information:

Given,

Monthly gross income is $8,000.

Living expenses are $6,500.

Assets are $205,000.

Liabilities are $105,000.

To determine:

Reasons to purchase mutual funds by investors.

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