ENTREPRENEURIAL PLANNING
FINANCIAL PLANNING AND ANALYSIS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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net worth
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total liabilities
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net cash flow
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total assets
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Detailed explanation-1: -A net worth statement is a financial snapshot that shows your financial wealth at a given point in time and provides a useful summary of your financial affairs. Your net worth is the difference between your assets (what you own) minus your debts (what you owe).
Detailed explanation-2: -A personal cash flow statement measures your cash inflows and outflows in order to show you your net cash flow for a specific period of time. Cash inflows generally include the following: Salaries. Interest from savings accounts. Dividends from investments.
Detailed explanation-3: -Subtract your monthly expense figure from your monthly net income to determine your leftover cash supply. If the result is a negative cash flow, that is, if you spend more than you earn, you’ll need to look for ways to cut back on your expenses.