According to the Keown book,an emergency fund consists of liquid assets that are sufficient to cover ________ of expenditures.
A)1 to 2 months
B)3 to 6 months
C)9 to 12 months
D)18 to 36 months

Question

Quizplus · Accepted Answer

The Keown book suggests that an emergency fund should be sufficient to cover 3 to 6 months of expenditures. This provides a reasonable timeframe for individuals to manage unexpected financial disruptions such as job loss or major medical expenses without significantly impacting their financial stability.

According to the Keown Book,an Emergency Fund Consists of Liquid