What Is the First Step in Developing a Financial Plan

question 16

Multiple Choice

What is the first step in developing a financial plan?

• A) set financial goals
• B) know where your money goes
• C) take a financial inventory
• D) create a budget
• E) execute the plan

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Definitions:

Gain Yards

A term often used in American football to describe the act of advancing the ball closer to the opposing team's goal line.

Probability .50

A statistical measure indicating that an event has an equal chance of occurring or not occurring, often represented as a 50% chance.

Nash Equilibrium

A concept in game theory where each player's strategy is optimal, given the strategies of all other players, leading to a situation where no player has an incentive to unilaterally change their strategy.

Michigan Football

Refers to the college football program representing the University of Michigan, known for its long history and success in the sport.