Assignment:
What is the relationship between insurance and successful financial management? Why is insurance important?
Consider your home and possessions. What types of risks do you face? What insurance would you recommend to someone in a similar location?
What are personal, property, and liability risks? What are examples of personal, property, and liability risk?
Why is estate planning important?
What is the principle of indemnity? Why is this principle important?
Why is it important to have your financial plan and goals in place when considering investments?
What is one financial goal that you have? Using what we have discussed in the unit, what strategies in saving and investing could you use to reach the goal? What are the advantages and disadvantages of the strategies that you would use?
What are some of the ways to reduce the risks of investing money?
What are the advantages and disadvantages of common stocks?
What factors can influence your investment choices and value?
What are the advantages of consumer credit?
What are the disadvantages of consumer credit?
What are some factors that influence a person's credit rating or their ability to get credit? How do each of these factors influence the extension of credit?
What are three different cards that someone might have in their wallet? Describe each type of card. How do these cards differ from each other?
How does the use of credit influence businesses and the economy?
Why are financial records important? How does keeping organized financial records contribute to successful money management?
Create a cash flow statement for your own finances. Why are cash flow statements useful in managing money?
What are the characteristics of successful budgets? What can you do to cultivate these successful characteristics in your own money management?
What are the pros and cons of using the different types of budget systems? Which one do you prefer?
Create a monthly budget for yourself using the steps discussed in the unit. If you don't wish to discuss your financial situation, you can create a budget based on an average individual your age.
How are consumer buying decisions related to successful financial management?
What are some of the strategies that you currently use to make consumer buying decisions? Do you think your strategies are helping or hindering your financial plan? Why? Are there improvements that you could make in your buying decisions?
What are some of the ways to reduce your risk of becoming a victim of identity theft?
What are three different advertising techniques that sponsors use to encourage you to buy a product? Describe each technique.
What should you do if you are a victim of identity theft?