Question

Luke has $700 that he doesn’t need to spend at the moment. However, when he has $1,500 he would like to buy a car. He’s planning to have all the money within the next six months.

Answer 1

SAVINGS ACCOUNT

Step-by-step explanation:

P.S - The exact question is -

Given - Luke has $700 that he doesn’t need to spend at the moment. However, when he has $1,500 he would like to buy a car. He’s planning to have all the money within the next six months.

Solution -

Luke's circumstance makes SAVINGS ACCOUNT as the most appropriate financial asset.

Given from the list as he can gain more interest than checking account/cash and savings account will be more liquid than CD ( Certificates of deposit) and his balance is too low for investing in the money market.