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True or False.
1. In determining the direction of financial goals, one has to decide whether to continue the same course of action, expand or change the current situation.
2.
3. Personal financial plan helps a person remain financially solvent.
4.
Step by step
Solved in 2 steps
- True or False 1. Personal financial planning is the process of getting rich. 2. In evaluating alternatives in financial goals, each choice involves an opportunity cost. 3. A comprehensive financial plan can enhance the quality of one's life.Discuss how one’s personality can cause the success or the failure of one’s financial goals. Cite a specific example to illustrate your answer.1. Why is it important to know your financial position?2. What benefits would you get from knowing your financial position?3. How your inner assets would help you in achieving your future goals?
- Explain the idea of mental accounting. Group of answer choices Mental accounting refers to the way we emotionally account for ups and downs of our lives. Mental accounting refers to the interest rate we use when we calculate the present value of future mental assets. Mental accounting is the way people keep track of their mental assets and liabilities. Mental accounting is the notion of putting dollars in different mental categories where they take different values.True or False. 1. Personal financial planning is the process of managing other people's money to achieve economic satisfaction. 2. Personal financial goals are monetary in nature. 3. In financial planning, risk involves monetary and non-monetary uncertainties. 4.1. What is a financial plan? A. A document containing a person's current money situation and long-term monetary goals. B. A plan that reflects the individual's personal and family situations, risk tolerance, and future expectations. C. The plan starts with a calculation of the person's current net worth and cash flow and ends with a strategy. D. All of the above
- What personality theory is the most dominant concept to help us better understand financial goal setting of individuals? Discuss your answerWhich of the following is the social objectives of financial management? Select one: A. None of the given option B. Effective utilization of finance C. Searching for new sources of finance D. Payment of reasonable dividendsHow can using personal financial planning tools help you improve your financial position? Please explain and give examples.
- What financial tools can help you make better financial decisions?True or False 1. Another advantage of having a personal financial plan is effective debt management. 2. Personal financial planning also refers to household financial budgeting. 3. Interest rates measures the cost of money; the cost of credit when one borrows; the return on one's money when an individual invests.13. Investment objectives are important because they are closely tied to overall personal financial planning and achievement of financial goals. Investment objectives include current income, saving for major expenditures, retirement funds and A. Tax shelters В. Entertainment C. Travelling D. Settling Debts
