When a cash surplus exists on your income and expenditure statements,you can
A) acquire assets.
B) pay off existing debts.
C) increase your savings.
D) increase your investments.
E) do any of the above.

Question

Quizplus · Accepted Answer

Having a cash surplus gives you the flexibility to make improvements in multiple areas of your financial life. You can choose to use the surplus to acquire assets, pay off debts, increase savings, or invest. The best choice(s) will depend on your individual financial goals and circumstances. For example, if you have high-interest debts, paying them off may be the best use of your surplus. Alternatively, if you have a strong emergency fund, investing the surplus may be a better choice for your long-term financial growth.

When a Cash Surplus Exists on Your Income and Expenditure