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1. Provide four (4) guiding principles in investing, saving, and spending that can be used as strategies on how to save more and build wealth
1. Provide four (4) guiding principles in investing, saving, and spending that can be used as strategies on how to save more and build wealth as starting point in managing a healthy financial future especially in this challenging time brought by the pandemic. 1. Personal Savings Principle 2. Personal Spending Principles 3. Personal Investing Principles II. TRUE OR FALSE Write True if the statement is correct, otherwise if False state your reason briefly. 1. Having an adequate working capital enables the business to maintain a good credit standing. 2. A business that has an insufficient or inadequate working capital can hardly replenish its inventories. 3. Compounding interest entails that the interest for the current period will also earn an interest in the succeeding period. 4. The process of computing the future value is the same when computing the present value of investment. 5. Personal saving, spending, and investing activities are interrelated. III. Analyze and Explain. Awareness of financial crisis is highlighted because of pandemic. However, this has led, at the same time, awareness on financial preparedness on cases like what we are experiencing now and many would suggest that as early as possible you must invest. How is investing help you financially considering your financial status, work tenure and other relevant factors? Explain in more than 5 sentences. III. Problem Solving Write your solutions and conclusions. 1. Mabuhay Corporation manufactures special types of furniture and fixtures for the use of luxury hotels in the country. It buys raw materials every 5th day of the month for 1,000,000. The suppliers of raw materials provide only 30-day credit terms to Mabuhay Corporation. It takes 90 days to convert the raw materials into finished products. Once the products are finished, Mabuhay sells them to luxury hotels on account. The buyers are given 30 days to settle their account. What is the conversion cycle of Mabuhay Corporation? 2. Amy has invested $500,000 on March 1, 2022 at 10% interest compounded annually for 10 years. Compute the future value of her invest at the end of five years. IV. Situational Analysis What is one change you could make today that would improve the financial status of the family this pandemic? Answer the question in more than 5 sentences. 1. Provide four (4) guiding principles in investing, saving, and spending that can be used as strategies on how to save more and build wealth as starting point in managing a healthy financial future especially in this challenging time brought by the pandemic. 1. Personal Savings Principle 2. Personal Spending Principles 3. Personal Investing Principles II. TRUE OR FALSE Write True if the statement is correct, otherwise if False state your reason briefly. 1. Having an adequate working capital enables the business to maintain a good credit standing. 2. A business that has an insufficient or inadequate working capital can hardly replenish its inventories. 3. Compounding interest entails that the interest for the current period will also earn an interest in the succeeding period. 4. The process of computing the future value is the same when computing the present value of investment. 5. Personal saving, spending, and investing activities are interrelated. III. Analyze and Explain. Awareness of financial crisis is highlighted because of pandemic. However, this has led, at the same time, awareness on financial preparedness on cases like what we are experiencing now and many would suggest that as early as possible you must invest. How is investing help you financially considering your financial status, work tenure and other relevant factors? Explain in more than 5 sentences. III. Problem Solving Write your solutions and conclusions. 1. Mabuhay Corporation manufactures special types of furniture and fixtures for the use of luxury hotels in the country. It buys raw materials every 5th day of the month for 1,000,000. The suppliers of raw materials provide only 30-day credit terms to Mabuhay Corporation. It takes 90 days to convert the raw materials into finished products. Once the products are finished, Mabuhay sells them to luxury hotels on account. The buyers are given 30 days to settle their account. What is the conversion cycle of Mabuhay Corporation? 2. Amy has invested $500,000 on March 1, 2022 at 10% interest compounded annually for 10 years. Compute the future value of her invest at the end of five years. IV. Situational Analysis What is one change you could make today that would improve the financial status of the family this pandemic? Answer the question in more than 5 sentences
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