FINA 385 Lecture Notes - Lecture 1: Interest Rate Risk, Financial Plan, Current Asset

• School: Concordia University
• Department: Finance
• Course: FINA 385
• Professor: Penny Ellison

Document Summary

Analyze the process for making personal financial decisions. Increased effectiveness in obtaining, using, and protecting your financial resources throughout your lifetime. Increased control of your financial affairs by avoiding excessive debt, bankruptcy, and dependence on others for economic security. 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 your personal economic goals. Prepare a list of current asset and debt balances, as well as income and expense amounts. Analyze your financial values and attitudes towards money. Continue as you are, expand or change the current situation, or take a new course of action. Consider your life and economic situation, as well as personal values. Analyze the opportunity costs or trade-offs of a decision: Personal opportunity costs include time, effort and health effects. Financial opportunity costs are measured in terms of the time value of money.