Question

Diwali is a festival in which a family can expect many guests in home. The family has to face many calculated and uncalculated expenses during the festival time. Inflation has led to price-rise in commodities.

In this context, answer the following question:

List any two importance of savings.

Answer 1

• Provide financial security for emergencies and unplanned expenses (e.g., extra festival/Diwali costs, price rises), savings let a family meet sudden needs without borrowing.
• Help achieve short‑term and long‑term goals (planned festival spending, purchases, education, retirement) by setting money aside for future needs.