| | Name: | | | | | Date: | 3/12/13 |
| | Name: | |
| Gary Grandview—A Continuing Case - Part 3 |
| Personal Financing |
| a. | Read Gary Grandview Part 3. Analyze the changing facts provided in Parts 1-3. |
| | Continue to assume the role of Gary's advisor and provide your answers in a |
| | business style tone. (Complete sentences and grammar) |
| b. | Please make sure that WRAP TEXT and MERGE and CENTER are ON. |
| | (*Excel Toolbar, Home Tab, Alignment section) |
| c. | Ensure your answers can be seen in the yellow highlighted text box. Need more space? Increase height of the text box. a) Drag the bottom line of the number row (far left column) down, or b) Insert a row while inside the yellow text box. |
| d. | Ensure printed copies are readable. Print in Portrait. |
| e. | Save and upload the document in the In Box. Print a copy for class. |
| | Case Questions | | | | | | | Value of Points |
| | | | | | | | | Possible | Lost |
| 1 | Update Gary's Personal Cash Flow statement that you developed in Part 1. |
| | Gary's Personal Cash In-Flow |
| | Disposable Income ( After Taxes) | | | | | $3,694.00 | | |
| | | | | | | |
| | Total Cash Inflows | | | | | $3,694.00 | | |
| | Gary's Personal Cash Out-flow (Expenses) |
| | Rent | | | | | | | |
| | Renters Insurance |
| | Utilities (gas and electric) | | | | |
| | TV, Internet, House Phone |
| | Cell Phone |
| | Food ( consumed at Home) |
| | Clothes |
| | Car expenses (gas/maint.) |
| | Vehicle Payment |
| | Vehicle Insurance Payment | | | | | | | | | | |
| | Entertainment (Socializing) | | | | | | | | | | |
| | Camping | | | | | | | | | | |
| | College loan payment | | | | | | | | | |
| | Credit Card Payment |
| | Total Cash Outflows | | | | | | | 2 |
| | Net Cash Flows | | | | | | | 1 |
| 2 | Considering Gary's decision to purchase rather than continuing to rent, should he purchase the condo or the ranch? Use popular internet web site to make your determination. Site the website utilized. |
| | | | | | | | | | |
| | | | | | | | | 4 |
| 2 | Use the internet (site source) to determine if Gary can afford to: |
| a) | Purchase the new SUV. |
| |
| | | | | | | | | 2 |
| b) | Lease the SUV. |
| |
| | | | | | | | | 2 |
| c) | Purchase both the SUV and the home. |
| |
| | | | | | | | | 2 |
| d) | Lease the SUV and purchase the home. |
| |
| | | | | | | | | 2 |
| |
| 3) | What are at least two advantages and two disadvantages of Gary's deciding |
| | to lease rather than purchase the car? |
| | Advantages
Disadvantages |
| | | | | | | | | 2 |
| 4 | Based on the information you provided, Gary decides not to buy | | | | | | | | |
| | a home at this time. How can he save the necessary funds to purchase |
| | a home in the future? Be specific in your recommendations. |
| | Be creative; think outside the box; find ways to accomplish goals. |
| a) | Future Value of an Annuity |
| | Payment per Period | | | | | |
| | Number of Periods | | | | | |
| | Interest Rate per year | | | | | | | | | | |
| | Future Value | | | | | $0.00 | | 2 | | | |
| | | | | | | | | | | | |
| b) | Recommendations |
| | | | | | | | | 2 |
| 5 | How would your advice to Gary differ if he were still single?
How would your advice differ if he were married with children? |
| a) | 45 years old? | | | | | | | 2 |
| | |
| b) | 60 years old? | | | | | | | 2 |
| | |
| | | | | | | Total | | 25 |
| | | | | | | Final Grade |
lila_v
finance2.xlsx
