The First Step in Developing Your Financial Plan Is

question 97

Multiple Choice

The first step in developing your financial plan is

• A) establish your financial goals.
• B) pay off all your credit cards.
• C) buy a cool car then begin saving money.
• D) get a good job.

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Definitions:

Management Approach

A method used in accounting where managers use their judgment to determine key financial reporting information, particularly for segment reporting.

Reportable Segments

Components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performance.

Competitively Damaging Information

Sensitive data or knowledge that, if disclosed, could negatively affect a company's competitive position in the market.

Supplying Segment Information

This refers to the process of providing financial and operational details specific to identifiable components or segments of a company to users of financial statements.