BUSN 108 Chapter Notes -Money Supply, Liquidity Risk, Risk Premium
Document Summary
Chapter 1 - personal financial planning in action. Personal financial planning: the process of managing your money to achieve personal economic satisfaction. Financial plan: a formalized report that summarizes your current financial situation, analyzes your financial needs, and recommends future financial activities. Increased effectiveness when obtaining, using, and protecting your financial resources throughout your life. Expanded control of your financial affairs by avoiding excessive debt and dependence on others. Improved personal relationships resulting from well-planned and effectively communicated financial decisions. A sense of freedom from financial worries obtained by looking to the future, anticipating expenses, and achieving personal economic goals. Adult life cycle: the stages in the family situation and financial needs of an adult. Values: ideas and principles that a person considers correct, desirable, and important. Federal reserve: the federal reserve system, the central bank of the united states, has significant economic responsibility.
