Question 1 for most people the first obstacle is to

Question

Question 1: For most people, the first obstacle is to correctly assess their true net income.

Question 2: Salary or wages are the only cash inflows for working people.

Question 3: Cash outflows represent your liabilities such as the pay-off on your car or home.

Question 4: Net cash flows are the difference between cash inflows and cash outflows and can be either

Question 5: The primary goal of financial planning is to

• increasing earnings.
• maximize cash inflows.
• maximize wealth.
• minimize financial risk.

Question 6: The personal cash flow statement measures

• the rate of cash flow.
• cash outflows only.
• cash inflows and outflows.
• cash inflows only.

Question 7: The cash flow statement reports a person's or family's

• net worth.
• current income and payments.
• plan for borrowing.
• value of investments.

Question 8: Creating a cash flow statement requires that you determine

• assets.
• liabilities.
• cash used for expenses.
• market value of investments.

Question 9: Which of the following is not a cash inflow?

• Interest received
• Dividend income
• Car payment
• Salary

Question 10: Jim has $1,000 income from his job and $200 stock dividend income this month. This month Jim has rent and utilities of $300 and he spent $300 on groceries and $200 on clothing. What is his cash inflow this month?

• $1,200
• $400
• $600
• $500

Question 11: Cash outflows are also called

• assets.
• expenses.
• income.
• liabilities.

Question 12: Which of the following is not a cash outflow?

• Salary
• Rent
• Telephone bill
• Car payment

Question 13: Jeff has a $1,000 salary and a $100 dividend income this month. This month Jim has rent and utilities of $300 and he spent $200 on groceries and $100 on clothing. What is his net cash flow this month?

• $400
• $600
• $500
• $1,100

Question 14: If you prepare a document that shows your cash inflows and cash outflows it is called a(n) ________.