Your friend has a trust fund that will pay her the following amounts at the given interest rate for the given number of years. Calculate the current (present) value of your friend’s trust fund payments. (Click here to see present value and future value tables) Amount of Yearly Receipt Rate Time Current Value $5,800     8% 5 years $fill in the blank 1 $11,700     12% 10 years $fill in the blank 2 $18,000     10% 16 years $fill in the blank 3 $23,000     15% 20 years $

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Emergency Fund

The emergency fund is an amount that is kept aside to meet financial emergencies such as medical expenses and debt settlements. Emergency funds reduce the burden on people during their hardships. People save small portions of their earnings or paychecks as emergency funds to meet financial emergencies. Emergency funds should be saved or invested in such a way that they must be easily liquidated during emergencies. The main purpose of an emergency fund is its availability when required.