MCS 2100 Lecture Notes - Lecture 2: Current Liability, Deed, Home Computer

• School: University of Guelph
• Department: Marketing and Consumer Studies
• Course: MCS 2100
• Professor: Jian Zhou

Document Summary

Examples: spending money on living expenses reduces the amount one can save for future, saving for future reduces what can be spent now, 3 major money management activities, storing/maintaining personal financial records. Identify strengths and weaknesses in financial situation: personal balance sheet (or net worth statement): a financial statement that reports what an individual/family owns and owes, prepared by: Items of value (assets) amounts owed (what you owe) = net worth (your wealth) Liquid assets: cash and items of value easily converted to cash: assets: cash and other property with tangible value, real estate, pe(cid:396)so(cid:374)al possessio(cid:374)s (cid:894)(cid:373)ay list ite(cid:373)s" dep(cid:396)e(cid:272)iated o(cid:396) fai(cid:396) (cid:373)a(cid:396)ket value) Investment assets (at current value: determine amounts owed: Liabilities: amounts owed to others (not including items not yet due: current liabilities: debts to be paid within a year. Total cash received - cash outflows = cash surplus or deficit.