1. What is the impact of a savings account’s purchasing power if it is earning 3% APY and inflation has been 4% for the past year? 2. A family with an annual take-home pay of $120,000 a year needs how...

1. What is the impact of a savings account’s purchasing power if it is earning 3% APY and inflation has been 4% for the past year?

2. A family with an annual take-home pay of $120,000 a year needs how much in its emergency fund?

3. A decade ago, your parents purchased a 20-year, $1,000 Treasury bond. The interest rate at the time of purchase was 5%. Today, comparable bonds are paying 7%. Approximately how much could they sell this bond for?