The Main Purposes of Personal Financial Statements Are To

question 66

Multiple Choice

The main purposes of personal financial statements are to:

• A)summarize the value of the items that you own and the amountsthat you owe
• B)track your cash inflowsby source and your outflows by type
• C)identify strengths and weaknesses in your current financial situation and provide data for use in filing your income tax return or applying for credit
• D)measure progress toward your financial goals
• E)all of the above

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Definitions:

Adult Life

A phase of human development characterized by full physical maturation, increased independence, and typically involving roles such as employment and family life.

South America

A continent located in the Western Hemisphere, mostly in the Southern Hemisphere, comprising 12 countries and known for its diverse geographical features and cultures.

School

An institution designed for the teaching of students under the direction of teachers.

Craft

Skill in doing or making something, especially with the hands, often implies an artistic or traditional nature of the work.