Which is an example of a possible unanticipated cash flow shortage?
A)Your car gets damaged in an accident.
B)Your annual life insurance payment comes due.
C)Your property tax bill is overdue.
D)Your car loan payment falls due.

Question

Quizplus · Accepted Answer

A car accident is an unexpected event that may require immediate cash outflow for repairs or for a replacement vehicle. This could cause a cash flow shortage if the individual does not have emergency savings or insurance coverage. The other options listed (B, C, and D) are predictable expenses that should be budgeted for or paid on a regular basis.

Which Is an Example of a Possible Unanticipated Cash Flow