Topic 7 DQ 2

Determine the most valuable aspect of this course to you and explain how you plan to apply it to your personal financial practices.Share two ways that you feel you will be able to apply the concepts you learned in this course to your current or future work position.

You have two investments that have positive net present values and are financially feasible. Your boss wants you to make a recommendation on which one of the two to invest in given different useful lives? How do you account for this/make the decision?

Please solve the following

Which of the following is not one of the most important questions to be asked when starting your business? Will you buy insurance for your business? Where will you get the long-term financing to pay for your investments? Will you bring in other owners, or will you borrow the money? How will you manage your everyday financial activities? What long-term investments should you take on?

Why do you think people have such a hard time with long-term goals like saving for retirement, getting life insurance or estate planning, yet see the need and importance for this type of think for small things?

Plan to Save You will need to spend money to achieve most of the long-term goals you set in your life. It could be money to pay for your education, buy a house, raise a family, travel, start a business, and so on. Because you need money to achieve your most valued long-term goals, you also need to create a savings plan as a part of your overall financial plan. Saving is not something that just happens for most people. It is the result of careful planning and controlled spending. Consider Walter, who would like to save $300 per month toward the purchase of a home. Walter's income and spending in the past month are shown below. Use this information to answer the questions that follow. Walter's Income Income Spending Net (after tax) Wages $2,850.00 Rent/Utilities S751.76 Interest Earned $64.07 Food $348.32 $120.00 Clothing Transportation $499.61 Loan Payments $299.00 Entertainment $454.92 Stock Dividends $239.42 Insurance $231.42 Other $273.45 1. How much was Walter's income? 2. How much…

Plan to Save You will need to spend money to achieve most of the long-term goals you set in your life. It could be money to pay for your education, buy a house, raise a family, travel, start a business, and so on. Because you need money to achieve your most valued long-term goals, you also need to create a savings plan as a part of your overall financial plan. Saving is not something that just happens for most people. It is the result of careful planning and controlled spending. Consider Walter, who would like to save $300 per month toward the purchase of a home. Walter's income and spending in the past month are shown below. Use this information to answer the questions that follow. Walter's Income Income Spending Net (after tax) Wages Interest Earned $2,850.00 Rent/Utilities $751.76 $64.07 Food $348.32 Clothing Transportation $499.61 Loan Payments $299.00 Entertainment $454.92 Stock Dividends $120.00 $239.42 $231.42 Insurance Other $273.45 1. How much was Walter's income? 2. How much…

Sam is planning to start a new business. If he invests all his personal savings in the business, the interest that he could have earned on those savings is considered a(n) Blank______. Multiple choice question. opportunity cost sunk cost financing cost irrelevant cost

The three brathers inherited the money from their late father.  The youngest and middle son decided to put their money in the bank,  The eldest son also considered the possibility of other ways of investing, such as in precious metals, securities or buying an investment apartment.  He considered these options in the context of the future economic situation (improvement, no change, deterioration, decline) and percentage returns from individual investment options.  He described the decision problem using the following table with estimates of the size of revenues.  Use the EMV criteria to determine the most appropriate way to invest your eldest son.     Preferences 0.052 0.2 0.056 0.692    Improvement    no change     deterioration    decline  precious metals 16.375 16 15.625 14.875 securities 10 10 8.25 0 investment apartment 6.75 1.75 1 1   Now write what is the best expected return (EMV)?

Which of the following is not a stage in the financial planning life cycle? Stage 4 - which involves transferring all of your assets to your family and friends so that the government does not take it when you die Stage 3 - focuses on the ability to live on the money that has been saved in retirement Stage 1 - accumulating wealth Stage 2 - which shifts the focus on preserving and increasing the wealth that one has accumulated

o Describe in detail how you are financing your college education. Include sources like scholarships, loans, family contributions, part- time jobs, savings, grants, etc. o How did you secure these financial resources? What challenges did you face in the process?

Answer the following questions What do you think of Brad and Barbara’s seeking help for Brad’s parents? What prompted Richard to seek assistance? Was it only because of Brad and Barbara? What type of financial plan seems appropriate for Richard and Monica and why do you think Monica didn’t react more negatively to the financial news?

Sophia Martinez wants to travel after she retires as well as pay off the balance of the loan she has on the home she owns. whi planning process does this situation demonstrate? Multiple Choice Determining her current financial situation Developing her financial goals Identifying alternative courses of action Evaluating her alternatives Implementing her financial plan

A certified financial planner notes that with an unsubsidized student loan, the borrower has the choice of whether to make interest payments on the loan while still in college. She advises that making the interest payments rather than postponing them until after graduation is "always to your financial benefit ... because otherwise the interest payments will capitalize" (a) (b) Why does she believe that making the payments would be to your fi- nancial benefit? Are there good reasons some students decide to postpone making the interest payments until after they graduate? Briefly explain. What does the financial planner mean when noting that the interest payments will "capitalize"?

Imagine that you are a financial manager researching investments for your client. Think of a friend or a family member as a client. Define their characteristics and goals such as an employee or employer, relatively young (less than 40 years) or close to retirement, having some savings/property, a risk taker or risk averter, etc. Next, use Nexis Uni at the Strayer University library, located at Nexis Uni, click on “Company Dossier” to research the stock of any U.S. publicly traded company that you may consider as an investment opportunity for your client. Your investment should align with your client’s investment goals. (Note: Please ensure that you are able to find enough information about this company in order to complete this assignment. You will create an appendix, in which you will insert related information.) Provide a rationale for the stock that you selected, indicating the significant economic, financial, and other factors that led you to consider this stock. Suggest the…

Rent versus buy analysis - Part 2 Which is better: to rent or to buy? The decision of whether to rent or buy housing is a personal decision that is based on both your lifestyle and your finances While most financial experts argue that the financial aspect of the decision. is important, it is also important not to base your rent- or buy decision solely on the numbers. Your personal needs and housing market conditions are important. However, it is still necessary to perform the financial analysis. Tim and his wife are trying to decide whether to rent or to purchase a new townhouse. After looking for several months, they ve narrowed their choice down to one particular house, and the builder is willing to lease or sell-depending upon the preference of the buyer. To perform a rent or buy analysis, Tim and his wife have collected the following information: if they rent, the builder will require monthly rental payments of $1,300 and a security deposit equal to two months of rent Since they…