Assignment
• Part I
Identify your personal financial goals as a start for your personal financial plan. You should include at least three personal financial goals per section.
Copy and paste your goals in one Word document.
After filing out your goals write your analysis and your action plan for your goals.
Please click on this link to download the file: Goals
Then identify outflows of cash (use spending diary) Please click on the link: Spending Diary
Copy and paste your spending diary below your analysis and action plan for your goals.
Then complete an outline for your cash flow plan Please click on the link: Cash Flow
Copy and paste your cash flow plan.
Then you need to interpret the data from the cash flow plan and develop a plan of action.
Construct a personal financial Statement. Click on the link: Balance Sheet
Then you need to construct a budget Click on the link: Budget:
Copy and paste your budget into the Word document.
Then write a detailed interpretation of the data and develop a plan.
Part II
You will use the 5-step critical thinking problem-solving process, IDEAS, to work through any problems to determine a solution for a given problem and for any other problems you encounter.
Now that you have constructed your budget, an expense unexpectedly comes up in your life, for example your car breaks down, your roof needs to be replaced, your college books cost $300 more than expected, etc. How will you solve a financial crisis that hits you? What solutions can you come up with? How do your solutions differ based on the total cost of the expense (few hundred dollars vs. thousands of dollars)?
I - IDENTIFY the Problem and Set Priorities (Step 1)
D - DEEPEN Understanding and Gather Relevant Information (Step 2)
E - ENUMERATE Options and Anticipate Consequences (Step 3)
A - ASSESS the Situation and Make a Preliminary Decision (Step 4)
S - SCRUTINIZE the Process and Self-Correct as Needed (Step 5)
Here is a generic sample using the five step method.
Step 1: You are to identify your problem and set priorities. As you begin to examine the characteristics of the problem, you will be able to begin to clarify the priorities. You need to describe the problem in at least a paragraph and establish priorities in a separate paragraph. Along with the problem, you need to write a problem statement. A problem statement describes what is currently going on and why the problem needs to be resolved. You should include how long the problem has existed and what measurable item(s) are affected. A problem statement is something that is written in the Lean Six Sigma Process. We won't spend time in this class learning this process, but if you are interested in investigating Lean Six Sigma, click on the following YouTube video on an introduction to Lean and Six Sigma concepts: https://www.youtube.com/watch?v=ACmkVb_BtgU
Step 2: For the 2nd step of the critical thinking problem-solving process, "D", you will deepen your understanding the gather relevant information on your problem. As you deepen your understanding about the problem, it will help you to determine what information might be relevant in coming up with a solution. You need to gather several reliable sources for this step. Listen to both sides - both the pros and the cons before you evaluate the situation. If new information arises about your problem(s), you need to consider those as well. Once it is time to evaluate, you need to do it with an open mind. - set your biases aside as you move through this process.
Step 3: For Step 3 of the critical thinking problem-solving process, "E", you will enumerate options and anticipate the consequences. You need to enumerate (detail or list) genuine options because they will help you to focus on the possible consequences that could be likely to occur. You need to be very realistic in this stage. Being practical or realistic will help you eliminate wasted time and energy. Have the courage to ask the hard questions even if they lead to additional problems. Be sure to include both your options and possible consequences in your summary.
Step 4: For Step 4, "A", you will assess your situation and make a preliminary decision. By taking a good look at the entire situation, you should be able to make a tentative decision that will help you determine what steps may need to be taken to resolve the problem. You may need to seek informed and unbiased opinions/information from other sources. You need to treat all of the options equally before making your preliminary decision.
Step 5: For the final step of the critical thinking problem-solving process, "S", you will scrutinize the process and self-correct as needed.
Please use APA format and submit in One Word Document.