While in college, Pam Jenkins worked part-time and was never concerned about long-term financial planning. Rather than creating a budget, she used her checkbook and savings account (which usually had a very low balance) to handle her financial needs.

After completing college, Pam began her career as a sales representative for a clothing manufacturer located in California.

After one year, her assets consist of a 2002 automobile, a television set, some electronic entertainment equipment, and clothing and other personal belongs, with a total value of about $8,200.

Questions

1. List various personal financial decisions that Pam might be thinking about at this point in her life.

2. Realizing the information is limited, discuss possible future events that could impact Pam financially and what additional information is needed before recommending actions?

3. What are some specific short-term, intermediate, and long-term financial goals that Pam might want to develop?

4. List at least three financial situations and the time value of money calculations that would be helpful to Pam in planning or making decisions?