Based on the information above, how much should Sonny have in an emergency fund? Money Management Activities and Personal Financial StatementLife SituationSingleAge 21No dependentsCollege studentFinancial DataMonthly Income (after taxes)Personal PropertySavingsStudent loanP14,500.0070,300.0020,000.0030,000.0024,000.00Credit card debtRent4,000.00Utilities750.00Car insurance1,000.00CellphoneCredit card paymentGas/Car maintenanceCable/InternetGroceries500.00400.001,000.00450.003,000.00500.00ClothingGifts and donations500.00Since Sonny has a fixed income per month, he has been using his credit card to make endsmeet. Although he pays the minimum required by the credit card company each month, hiscredit card debt is rising at an alarming rate. He knows that he is not clear on where all of hismoney is going but he is glad to be able to share expenses with his roommate, Tony. He doeshave a small amount of savings, but he is not sure it is enough if an emergency were to occur.

Emergency Fund An individual need emergency fund due to unexpected situation which are arised in his…

Answered: Based on the information above, how…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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