Personal Finance

Assignment 4: Saving and Investing (32.0 points) 1.Describe a manifest or made up but realistic spatial relation that could ca use up you or some angiotensin-converting enzyme you tell apart to score to use money from a monetary reserve. (3-6 sentences. 2.0 points) A situation that would coif me to use money from a fiscal reserve would be an jot, such as unexpected medical exam costs. For example, if I got into a car wreck and was injured badly, I might strike to use some of the money in my reserve to dish pay the costs of my medical bills. 2.How many an(prenominal) months worth of expenses do you think your monetary reserve should allow? Describe at least two reasons for this decision. (3-6 sentences. 2.0 points) I reckon that at least three months worth of my expenses should go towards my financial reserve. I think this is a good idea because this unbidden leave comely money for me to afford major financial loss. If there is an emergency that is costly, three months worth of expenses should be able to pay for the damages. 3.Would you alternatively have a nest egg placard that offered simple interest, or an circular that offered escalate interest? consequently? (3-6 sentences. 2.0 points) I would quite a have a savings broadside that offered chemical composite interest. I would choose compound interest because it speeds up the process of construction up interest.

unanalyzable interest slowly grows, while compound interest is fast. 4.If you were initiative a savings account with compound interest, would you prefer an account that offers annual compo unding, quarterly compounding, or periodic! al compounding? why? (3-6 sentences. 2.0 points) I would want an account that offers quarterly compounding so I can continue pose money in my bank so that interest pass on grow on it. Although I am not authentic what I will choose when I am older, I think this one sounds the best and most intriguing. I hardly want to have a lot of interest on my savings account as I grow older. 5.Which schema for saving do you think would work best for you? Why? (3-6 sentences. 2.0...If you want to hitch a full essay, order it on our website: BestEssayCheap.com

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