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Jane and Bill Collins have total take-home pay of $5,100 a month. Their monthly expenses total...

Jane and Bill Collins have total take-home pay of $5,100 a month. Their monthly expenses total $4,050. Calculate the minimum amount this couple needs to establish an emergency fund.

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Answer #1

Minimum amount needed to establish an emergency fund

= Monthly expenses * 3 months

= 4050 * 3 months

= 12,150

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