A study on concepts of finance for finance decision making

May 28th, 2015
Studypool Tutor
Abilene Christian University
Price: $25 USD

Tutor description

How much capital will be required, what are the sources of capital and how it will be invested is the matter of financial management. Financial management is the managerial activity which is concerned with the managerial activity which is concerned with the planning and controlling of the firm’s financial resources.

Word Count: 1592
Showing Page: 1/8
Questions in personal finance revolve aroundProtection against unforeseen personal events, as well as events in the wider economyTransference of family across generations (bequests and inheritance)Effects of tax policies (tax subsidies and/or penalties) on management of personal financesEffects of credit on individual financial standingPlanning a secure financial future in an environment of economic instabilityPersonal finance may involve paying for education, financingdurable goodssuch asreal estateand cars, buyinginsurance, e.g. health and property insurance, investing and saving forretirement.Personal finance may also involve paying for a loan, or debt obligations. The six key areas of personal financial planning, as suggested by the Financial Planning Standards Board, are:[1]1. Financial position: is concerned with understanding the personal resources available by examining net worth and household cash flow. Net worth is a person's balance sheet, calculated by adding up all assets under that person's control, minus all liabilities of the household, at one point in time. Household cash flow totals up all the expected sources of income within a year, minus all expected expenses within the same year. From this analysis, the financial planner can determine to what degree and in what time the personal goals can be accomplished.2. Adequate protection: the analysis of how to protect a household from unforeseen risks. These risks can be divided into liabil

Review from student

Studypool Student
" Excellent job "
Ask your homework questions. Receive quality answers!

Type your question here (or upload an image)

1821 tutors are online

Brown University





1271 Tutors

California Institute of Technology




2131 Tutors

Carnegie Mellon University




982 Tutors

Columbia University





1256 Tutors

Dartmouth University





2113 Tutors

Emory University





2279 Tutors

Harvard University





599 Tutors

Massachusetts Institute of Technology



2319 Tutors

New York University





1645 Tutors

Notre Dam University





1911 Tutors

Oklahoma University





2122 Tutors

Pennsylvania State University





932 Tutors

Princeton University





1211 Tutors

Stanford University





983 Tutors

University of California





1282 Tutors

Oxford University





123 Tutors

Yale University





2325 Tutors