Topic 5 - Financial Planning Flashcards
1
Q
Features of a good financial plan
A
Clear Timely Flexible Documented Realistic
2
Q
Monthly budget definition
A
Financial plan that someone draws up every month to show expected income, expenditure and end-of-month balance.
3
Q
Before drawing up medium to long-term plan people must take note of:
A
Balance on current account and savings account Current income and expenditure Assets they currently own Liabilities they currently owe Net worth