You should attempt to have a sufficient amount of funds in liquid assets to draw on when your cash outflows exceed your cash inflows. OTrue False

True.<br /><br />It is important to have a sufficient amount of funds in liquid assets to draw on when your cash outflows exceed your cash inflows. Liquid assets are assets that can be easily converted into cash, such as savings accounts, money market funds, and short-term investments. Having a cushion of liquid assets can help you manage unexpected expenses or financial emergencies, and can also provide you with a buffer to draw on during times when your income is lower than usual. This can help you avoid relying on high-interest debt or other financial strategies that may not be in your best interest in the long run.