PFIN (with PFIN Online, 1 term (6 months) Printed Access Card) (New, Engaging Titles from 4LTR Press)
6th Edition
ISBN: 9781337117005
Author: Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk
Publisher: Cengage Learning
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Chapter 4, Problem 8FPE
DETERMINING THE RIGHT AM OUNT OF SHORT-TERM, LIQUID INVESTM ENTS. Leo and Ava Bryant together earn approximately $92,000 a year after taxes. Through an inheritance and some wise investing, they also have an investment portfolio with a value of almost $200,000.
- a. How much of their annual income do you recommend the Bryants hold in some form of liquid savings as reserves? Explain.
- b. How much of their investment portfolio do you recommend they hold in savings and other short-term investment vehicles? Explain.
- c. How much, in total, should they hold in short-term liquid assets?
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Ella and Aaron Martin together earn approximately $92,000 a year after taxes. Through an inheritance and some wise investing, they also have an investment portfolio with a value of almost $200,000.
a. How much of their annual income do you recommend the Martins hold in some form of liquid savings as reserves? Explain.
b. How much of their investment portfolio do you recommend they hold in savins and other short-term investment vehicles? Explain.
c. How much, in total, should they hold in short-term liquid assets?
Ella and Aaron Martin together earn approximately $92,000 a year after taxes. Through an inheritance and some wise investing, they also have an investment portfolio with a value of almost $200,000.
a. how much of annual income do you reccoment they hold in liquid savings as reserves? why?
b. How much of their investment portfolio do you reccoment they hold in savings and other short term vehicles? Explain.
c. How much, in total, should they hold in short term liquid assets?
Determine the right amount of short term, liquid assets.
(Explain.)
(Explain.)
How much in total in liquid assets:
Finance
3. Tyler and Sarah earn approximately $93,000 a
year after taxes. They have an investment portfolio
of $177,000. How múch should they have in liquid
savings for emergencies? How much of their
investment portfolio should be in short-term
investments? How much, in total, should they hold
in short-term liquid assets
Chapter 4 Solutions
PFIN (with PFIN Online, 1 term (6 months) Printed Access Card) (New, Engaging Titles from 4LTR Press)
Ch. 4 - Prob. 1LOCh. 4 - Describe todays financial services marketplace,...Ch. 4 - Prob. 3LOCh. 4 - Prob. 4LOCh. 4 - Prob. 5LOCh. 4 - Develop a cash management strategy that...Ch. 4 - Adapting to a low-interest-rate environment. A...Ch. 4 - Prob. 2FPECh. 4 - Choosing a new bank. Youre getting married and...Ch. 4 - Prob. 4FPE
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