Yusuf Marshall

Mathematics

28 August, 18:21

Select the correct answer.

Which statement correctly identifies a difference between an emergency fund and a rainy-day fund?

A.

An emergency fund is larger and should have a balance equal to three to six months of income.

B.

A rainy-day fund is larger and should have a balance equal to three to six months of income.

C.

An emergency fund is smaller and used for minor unexpected expenses, such as replacing an appliance.

D.

A rainy-day fund is smaller and used for expenses that are planned.