Personal financial planning pdf free download chapter 1

1 1 CHAPTER 3 UNDERSTANDING FINANCIAL STATEMENTS Financial statements provide the fundamental information that we use to analyze and answer valuation questions. It is important, therefore, that we understand the principles governing these statements by looking at four questions. Saylor Academy. information to help you plan next month’s budget. Some bills are monthly and some come less often. If you have an expense that does not occur. every month, put it in the “Other expenses this month” category. MONTH YEAR. My income this month. Income Monthly total.

NOTES: DATE CREATED: 1/17/ AM DATE MODIFIED: 1/17/ AM 2. You should not take the job if the geographic location is not what you want. a. True b. False ANSWER: b POINTS: 1 DIFFICULTY: Easy REFERENCES: Identify the key steps in successful career planning QUESTION TYPE: Multiple Choice HAS VARIABLES: False. Chapter 1 The Financial Planning Process Facing Financial Challenges 1) Once a sound financial plan is in place, there should be no need to ever change it. Answer: FALSE Diff: 1 Topic: The Financial Planning Process AACSB: Analytical Thinking 2) One purpose of financial planning is to help you legally reduce the amount of taxes you have. Personal Finance Unit 1 Chapter 3 © Glencoe/McGraw-Hill 4 Opportunity Costs and Money Management Every decision you make represents a trade-off.

Chapter No. Chapter Name Page No. 1. Financial Planning 1 – 17 2. Investor Profiling 18 – 25 3. Personal Taxation 26 – 4. Banking Products – 5. Regulatory Guidelines – 6. Insurance – Life, Health and General – 7. Investment in Mutual Fund – 8. Investment in Equity Shares – 9. Activity (1) is a financing decision Activity (2) is an investment decision Activities (4a) and (4b) are financing decisions The role of a financial manager Forecasting and planning of firms’ financial needs Making financing and investment decisions Coordinating with other departments/divisions Dealing with financial markets Managing risks. PART 1 Financial Planning 1 1 The Financial Planning Process 2 Facing Financial Challenges 4 The Personal Financial Planning Process 5 Step 1: Evaluate Your Financial Health 5 Step 2: Define Your Financial Goals 5 Step 3: Develop a Plan of Action 6 Step 4: Implement Your Plan 6 Step 5: Review Your Progress, Reevaluate, and Revise Your Plan 7.