BM418 Review Sheet – Quiz #1

Financial Planning

Sudweeks

Spring 2012

*This list is not all-inclusive, but is a great starting point in your preparation for your first Quiz. Remember my goal is to share principles and tools so you can apply these things in your daily lives. This is the only document that can be open when you are taking your Quiz—it is a closed book closed notes Quiz.

Format:

The exam will consist of multiple choice and work out problems. We anticipate it will take 3/4 to anhour to complete, but you will be given 2 hours (international students are allowed another ½ hour). The Exam will cover discussion from Day 1 to 3 and from Chapters 1 through 3 of the book. It is due before the next class.

Recommended actions for every Day:

  • Review your notes. The best starting point is the notes that you took in class. Review them first before anything else.
  • Review the chapters. This is the foundation material for the discussions. Skim what you have already read, read through the Summary of each chapter
  • Review the Class Summaries. These are good discussions of what the objectives are for the class and how the activities we performed supported those activities
  • Review the PowerPoints and Other Materials.

Additional Information to know specific to this Exam:

Day 1: Another Perspective on Wealth (Chapter 1)

  • Review the Syllabus and know this is testable material.
  • Understand the Learning Outcomes (my overall objectives for the class). Take the “big picture” for this class.
  • Understand what our perspective is, and the key principles on which that perspective is based—this “other perspective” on personal finance
  • Understand my teaching philosophy and why we do what we do.

Day 2: Personal Goals and your Personal Financial Plan (Chapter 2)

  • Understand the role of personal financial planning in achieving your goals
  • Understand the requirements for your personal financial plan
  • Understand what you want to accomplish in life and write it down
  • Understand how to set “real” goals and the principles of effective goal setting

Day 3: Budgeting and Your Personal Financial Statements

  • Understand the importance of budgeting to achieving your goals
  • Know how to prepare a budget
  • Be able to prepare a balance sheet and income statement from data given
  • We able to prepare the six financial ratios
  • Use this data to make recommendations on how to help people in financial difficulty

Quiz Review Formulas

You can use this Quiz Review Sheet while you are taking Quiz #1.

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