Personal Financial Planning

Robert’s total debt (not including mortgage) is $8,790. His net worth (not including his home) is $35,000. Therefore, his debt-to-equity ratio is $8,790 divided by $35,000, or 0.25. Since this ratio is less than 1, Robert has not reached the upper limit of debt obligations.

In accordance ASC 470-50-40-21b Modifications to or exchanges of line-of-credit or revolving-debt arrangements resulting in either a new line-of-credit or revolving-debt arrangement or resulting in a traditional term-debt arrangement shall be evaluated in the following manner:“ If the borrowing capacity of the new arrangement is greater than or equal to the borrowing capacity of the old arrangement, then any unamortized deferred costs, any fees paid to the creditor, and any third-party costs incurred shall be associated with the new arrangement (that is, deferred and amortized over the term of the new arrangement.”

Carla had received very low annual return from her investment portfolio comprising of stocks of five companies for two years. Her decision to continue holding the same portfolio of assets will be an example of:

* He should show his cash flow netted with the mortgage payment as this reflects the true cash flow of the investment

* For the $27,500 share portfolio with negligible capital gain, they should sell these shares and reinvestment them to other more profitable shares or use them to pay out the personal loans and credit cards to save more interests.

1.Checking account balance $925,000; certificate of deposit $1,400,000; cash advance to subsidiary of $980,000; utility deposit paid to gas company $180.

In financial planning, one must consider both the personal and business aspect of the profession. Without recognizing both, an advisor cannot expect to grow their business and expand their client base. The personal aspect allows advisors to better engage and connect with clients. In turn, an advisor hopes this leads to an increase in business. However, when considering the business aspect, an advisor must also recognize what is harmful or beneficial to his practice. As we said in class, we have to keep the lights on. Naturally there are strengths which apply to both aspects, while there are strengths mutually exclusive to only one aspect. My top three strengths relate to both the business and personal aspect of financial planning. The fourth

Loan was purchased from secondary market on 10/01/14, Colson and the lender’s TOAs reconciled. After purchase lender remitted regular payment to satisfy the loan balance. However, a small amount of $21.32 still outstanding.

We reviewed the deficiency cited on the Maqque loan. While Brenda Maqque is the cosigner on the mortgage with her sister Sheryl, their mother, Juana M Tomaylla also lives in the property and is making payments on the mortgage. Please see the attached 12 month bank statements from Juana that support payments to The Federal Savings Bank in the amount of $2140.95/mo. I kindly ask that you reconsider this deficiency and accept the documents provided to mitigate this finding.

Note 3 touches on the category of cash and cash equivalents. Some of the cash equivalents are "available for sale securities." These include agency obligations ($20 million), commercial paper ($87 million), corporate debt securities ($78 million), government treasury securities ($606 million) and certificates of deposit ($64 million). In addition, the balance sheet shows $1.1886 billion in cash. There are stated at fair market value, which if it cannot be determined on the open market is estimated. The company values auction rate securities using an internally-developed valuation model. The company also notes that some of the "available for sale" securities are longer-term in

The company currently faces serious financial challenges. It was struggling with declining sales and increasing costs. Since 2004, revenues had fallen by more than 40% while costs especially for employees health insurance, maintenance, and utilities climbed. Credits and loans had been borrowed to

Since you are well trained in budgeting, you have decided to prepare comprehensive budgets for the upcoming second quarter in order to show management the benefits that can be gained from an integrated budgeting program. To this end, you have worked with accounting and other areas to gather the information assembled below.

Where, measures the mortgage balance at the beginning of period t if there is prepayment. is the mortgage balance at

From analysing the cash budget it demonstrates that by Zahlee Ltd taken out the second loan of £30’000, this was one of the factor that helped the business to stay out of minus figures in the closing balance of the cash budget. By putting this cash injection into their business it enabled them to average out the inflow and outflow of money within the business.

I have included the firm's original income statement and balance sheet without the purchase and then with the machine purchase. I have assumed that the firm would use the $218,000 to reduce the bank loans balance for each year. This reduction of the bank loan balance will lower their three restrictive financial ratios.