Alexander and Nancy is a married couple in late $30$s with $1$ years old kid living in Hong

Kong. They have bought an apartment $5$ years ago. Alexander is a senior manager

working in a financial service company over $10$ years. Nancy is a full$-$time mother taking

care of the kid together with a helper at home. They have no insurance policy. Below is

the financial situation of Alexander and Nancy.

Current Asset Current Market Value

Bank Deposit $80000$

Equity and bonds $200000$

Unit trust Funds $300000$

Long term Asset

Residential Flat $$4,000,000$

Liability

Credit card balance overdue $$30,000$

Mortgage loan $(4\%$ interest rate p$.$a$)$ $$3,500,000$

Income Per month

Alexander$$s Salary $80,000$

Mortgage payment $25,000$

Child, food and household expenses $20,000$

Parent Living support $10,000$

Automobile expenses $8,000$

Helper Expenses $5,000$

Entertainment $5,000$

Tax $3,000$

Miscellaneous expenses $2,000$

Mandatory MPF contribution $1,500$

Round to $2$ decimal points for your answer

a$)$ What is Alexander$$s net worth? @$3$

b$)$ What is Alexander$$s solvency ratio? @$3$

c$)$ What is Alexander$$s liquidity ratio? @$3$

d$)$ What is Alexander$$s saving ratio? @$3$

e$)$ As a Financial planner, based on the financial data gathered above and ratios you

have calculated, analyze the financial situation of Alexander and if you think he is not

in good shape, please identify three potential problems you anticipated with

suggested solutions to those area your highlighted to Alexander. @$12$