Planning for the possiblity that your home might get struck by lightning and catch on fire is part of a plan for _____.
a.
financing
b.
managing income
c.
managing liquidity
d.
protecting assets

Question

Planning for the possiblity that your home might get struck by lightning and catch on fire is part of a plan for _____.
a.
financing
b.
managing income
c.
managing liquidity
d.
protecting assets

pixiedust1 · Answer

I'm not sure, but lets play the elimination game.  

A is out.  Financing refers to mortgages and interest rates 
B, what would managing income have to do with your emergency fund?
C, managing liquidity has to do with investing.

So, we are left with D.  Protecting assets.  Its for protecting your home from destruction.  It looks like the obvious answer to me.

pixiedust1 · Answer

But that's merely a guess combined with common sense

anonymous · Answer

ok thank you. I started taking this class yesterday and the teacher just confused me.