Final Project #2

The project hasn’t been too hard yet. I hope that doesn’t bite me in the butt as I approach the first steps of the project that I waited to do in the end. We talked about all of the information, in depth, that was on the final project. I found it pretty easy to write about the subjects since we discussed them during class. After this project is done, I have no doubt in my mind that I will keep a copy for myself.
This project, so far, has turned out to be something that I could use for years to come. My goal is to use this project, at least as a template for my future finances. I understand that nothing goes as planned when it come to the real situation however; at least, this provides an in-depth future outlook of the finances of the job I want to pursue. Although I know that this will be beneficial to me in the future, I still would rather just have it magically done. The only part of the project that irritates me is the final presentation. A fifteen page paper, on top of a five minute presentation! I don’t see the point; however, I still got to get the grade.

Final Assignment

So far, I have gotten one page done. This assignment seems easier than I thought it would be. I am curious to find out what page other are on right now. This assignment has a positive and a negative side about it. The negative is that i am a procrastinator, and i know that this assignment is not something to wait to do it at the last minute. The positive is that this will force me to break a habit that MUST be broken. I found that it would be easier to start with step five and work my way down; then, go back and do the budget, income statement and balance sheet. Since we will have to add in all of the expenses into steps 1-4, I figure this will be an easier process. Other than redoing the income statement, balance sheet and budget, this project as a whole doesn’t seem as complicated as I thought it would be in my first analysis of the project. I believe I will start the project before Tuesday; however, my procrastination may rule me wrong in the end.

Chapter 16

I found chapter 16 very useful. Many people mismanage their money and end up in a corner by the end of their lifetime. My fellow students would find this reading very beneficial for planning for their future. It is helpful while young to start planning for one's retirement. Some individuals invest in bad securities and end up with their money dissolved. The Enron scam comes to mind when you want to think of an example of citizen's retirement's funds being diminished. Once retired, people can enjoy being free of certain responsibilities and spending more time with their family and friends.

Chapter 15

Life insurance is a must for families that are young and have something to lose. Funeral costs alone can set a family far back mentally and financially. The financial burden on top of the mental stress that comes from the death in the family is usually hard to recover from. The funeral contractors can jip you out of a lot of money as well! When I was younger, my relatives processed a burial through a major commercial company however; quite foolishly, the hearse driver was lost and could not find his way to the site for quite some time. Sometimes I wish I can go back in time, because knowledge is power and without it you will fall for anything.

Ch.11

Chapter 11 was quite interesting. I have always been intrigued by the stock market and its mysterious ways. Many people do not look to the market as a way of creating revenue... sadly mistaken. With proper strategy and planning you can minimize the risk that you are undergoing. Knowledge is the keys to success in this field, just like so many others. I implore you to take action to learn and utilize these techniques, for knowledge can do nothing but help you in the long run. The process of learning the material is only the first hurdle to jump. The rest falls into place.

Chapter 7

Chapter seven was not as out dated as the previous chapters. I like how it focuses a portion on electronic payments. Since eBay and other online stores have become the new age of shopping; this information is useful for this class’ group of students. I found the new/used car info repetitive. I have already taken personal finance (I did not know the courses are the same) and I learned that buying a used car that is two years old. A new car loses over 40% of its value within the first two years of driving it off the lot. It is definitely more economically sound to purchase a two year old vehicle. However many college graduates do not learn that lesson.

Chapter 6

Credit card... sounds like bad news to me! it will remain only an unapproachable thought. I was taught about finances as i was raised. When i was of age, I talked with my parents about getting a credit card because it sounds like fast money with little consequences. Thankfully, they deterred my pursuit. This chapter seems as if it is encouraging to get credit cards; and so, it wouldn't surprise me if some of Pearson's employees have a second career or have encountered special incentives. At least this chapter educated future credit card buyers of ways to correctly manage their debt so we can avoid another monkey-see-monkey-do economic catastrophe.

Chapter 5

Chapter 5 has alot information in it that I already knew about; however also, it provided in depth details of the accounts that I did not know existed. I would figure that many people in the financial management education would have known of this information as well, which is provided to us through our banks. Certain benefits on U.S. bonds such as: tax advantages and the ability to lock in a fixed interest rate, will help me detrimentally in my future choices of buying them or not. Segments introducing how to write and endorsing checks are useless to me. I believe that since we are young, living in the technological age that this information is obsolete.

Ch. 4

Taxes have always been looked down upon by me. Chapter 4 showed me many ways that a college student could capitalize on taxes. I am glad that I had chosen to take this class during the taxing semester! I never have trusted an accountant to calculate my taxes for me. Human nature claims that a random person would not treat a stranger’s belongings as he/she would his/her own, regardless of payment. Personally I never have actually believed in the taxing system. This chapter brought me to an understanding of some sort. I will use the tax new deductions I am now aware of to my advantage.

Ch. 3

This chapter enlightened me as far as my economic status goes. I realized how to determine my net worth. To analyze my assets vs. liabilities I created a simple income statement. To reach my financial goal for the future I seriously need to start focusing on things that will increase in value over time. I have invested into more stocks that will be profitable over time. Taking a deeper look into stocks and the history of the industry before investing will help in gaining more reliable stocks. Before buying appliances and accessories I will determine its future value before buying. Savings are essential to adding to net worth and I will not take it lightly anymore. The essentials of this chapter are lifelong lessons and they will help establish wealth over the course of life.