
#1




FA Task 6
I'm really confused about the wording in Task 6. "Addressing the general direction and magnitude are sufficient; you do not need to recalculate the tax." How am I supposed to address "magnitude" without recalculating? In my first submission I said "significant increase", but I'm thinking that didn't satisfy their "magnitude" question.

#2




I dont think it's possible to recalculate it precicely with the information given iirc, but I did recalculate it and gave an approximation in percentage increase
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#3




Based on the direction that all of the assumptions have changed, will the change in tax rate be small or big. Is it going to be higher/lower just a little bit or more than that?
With that being said your answer should be adequate. I said something similar. 
#5




Besides using sensitivity testing, do you think it is sufficient to change one assumption at a time in the model and see how that impacts the tax rate that is needed to fund over 30 years for the asset mix you chosen, or any asset mix (asset mix probably won't effect magnitude and direction)?
I understand you will be looking at time zero instead of time 5. But it should give a reasonable direction and magnitude. 
#6




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#7




For task6, did anyone recommend changes to the economic assumption in the original model?
In my first attempt, I thought the actual investment return tanked at year 3 compared to the expected, only to realize after I failed that the expected return I referred to was the result of a single scenario. (1000th scenario in the spreadsheet) So I'm guessing there is no good way to find what the total expected return for the expected and therefore I'm confined to only mentionining demographic assumptions of actual over expected...am I on the right track this time? 
#8




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#9




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#10




Thanks for rerouting me! I know what to write now.
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