Money Instructor – Personal Finance, Business, Careers, Life Skills Lessons, basic finance.#Basic #finance


Money Instructor

Basic finance

Welcome to Money Instructor

Teach and learn basic money skills, personal finance, business, careers, and life skills.

Basic finance

Educators

Use our worksheets, lessons, and activities for teaching money, business, and life skills.

Basic finance

Kids and Money

Money lessons for kids. Financial literacy and life skills for every child.

Basic finance

Teach and learn basic money skills, personal finance, business, careers, and life skills.

featured lessons

Featured lessons and learning resources

Earning Money

Basic finance

Teach and learn about earning and making money.

Down Payments

Basic finance

Students will begin to understand the topic of down payments. In our Money Math Lessons category.

Online Banking

Basic finance

Learn modern internet banking skills using our online banking simulation.

Teachers – Parents – Educators

Use our worksheets, lessons, and activities for teaching money, personal finance, business, and life skills.

Teach and Learn

Teaching lessons and informational resources

Basic finance

Lessons, Lesson Plans, and Worksheets

Lessons, lesson plans, worksheets, and other material for teaching money skills, personal finance, business, careers, and life skills.

Basic finance

Informational Resources

Useful personal finance information, articles, advice, and tips to help you with your own spending, financial planning, career, business, and other life skills.

Teach and learn money skills, personal finance, money management, business, careers, real life skills, and more.

Basic finance

Many young people graduate without a basic understanding of money and money management, business, the economy, and investing. We hope to help teachers, parents, individuals, and institutions teach these skills, while reinforcing basic math, reading, vocabulary, and other important skills.


Financial Ratios, basic finance.#Basic #finance


basic finance

Basic finance

Basic financeBasic finance

Basic financeBasic finance

A firm’s performance can be evaluated using financial ratios. Referencing these ratios to those of other firms allows a comparison to be made. The following is a listing of some useful ratios.

Leverage : Assets / Shareholder’s Equity

Gross margin measures the profitability considering only variable costs and is a measure of the percentage of revenue that goes to fixed costs and profit.

ROA is a measure of the return on money provided by both owners and creditors, and is a measure of how efficiently all resources are managed.

where the equity value is the shareholder’s equity at the end of the period in which the income was earned. ROE is a measure of the return on money provided by the firm’s owners.

ROE = ( Net Income / Total Assets ) ( Total Assets / Equity )

ROE also can be calculated using DuPont analysis :

ROE = (Net Income / Sales)(Sales / Total Assets)(Total Assets / Equity)

This states that ROE is determined by multiplication of three levers:

ROE = (net profit margin) (total asset turnover) (leverage)

These levers are readily viewed on the company’s financial statements. While ROE’s may be similar among firms, the levers may differ significantly.

The term working capital is used to describe the current items of the balance sheet. Working capital includes current assets such as cash, accounts receivable, and inventory, and current liabilities such as accounts payable and other short term liabilities. Net working capital is defined as non-cash current operating assets minus non-debt current operating liabilities. Cash, short-term debt, and current portion of long-term debt are excluded from the net working capital calculation because they are related to financing and not to operations.

The current ratio is a measure of the firm’s ability to pay off current liabilities as they become due.

The quick ratio also is known as the acid test. Quick assets are defined as cash, accounts receivable, and notes receivable – essentially current assets minus inventory.

Mulford, Charles W., Comiskey, Eugene E. The Financial Numbers Game: Detecting Creative Accounting Practices

Basic finance

The articles on this website are copyrighted material and may not be reproduced,

stored on a computer disk, republished on another website, or distributed in any


Basic Options Charts, basic finance.#Basic #finance


fundamental finance .com


How to Chart Options

It’s very helpful to be able to chart the payoffs an option can return. This page discusses the four basic option charts and how to set them up.

Long a Call

The first chart we’ll make shows what happens when you Long a Call (buy a call option). When you buy a call option, you must pay a premium (the price of the option). You can make a profit if the value of the underlying asset sufficiently increases.

The chart is set up using $ (or some other currency) on both the x and y axes. The x-axis represents the price of the underlying asset or “S” (like the stock). To draw the lines we will be placing on the chart, it is best to set up the following helpful table.

On the second row of the table the three scenarios of the asset’s value are given: the asset’s value can be less than the strike price, equal to the strike price, or greater than the strice price. The next row shows the value of the call option for each scenario. If the asset’s value is less than or equal to the strike price, then the call option is worthless; however, if the asset’s value is greater than the strike price, then the call option can be used to make a profit of S-X. The next line shows the cost of the premium at each scenario–since we are long on the option, the premium is some negative number (whatever was payed to purchase the option). The last row is simply a total of the two rows above it. You can see that a profit is made only if S>X and S>(X+C).

Basic finance

To make the chart, we first must plot the strike price on the x-axis. This is represented with an “X”. The blue line represents the payoff of the call option. If S is less than X, the payoff of the option is 0, so it will follow the x-axis. After reaching the strike price, the payoff of the option is S-X, so the line will increase at a 45 degree angle (if the numbers are spaced the same on both axes). The green line represents the profit from excersizing the call option. It runs parallel to the payoff line but since it takes into account the price that was payed for the premium (the cost of the call option) it will be that far below the payoff line.

Perhaps an example would be helpful:

Let’s say you are purchasing a call option for ABC stock


Money Instructor – Personal Finance, Business, Careers, Life Skills Lessons, basic finance.#Basic #finance


Money Instructor

Basic finance

Welcome to Money Instructor

Teach and learn basic money skills, personal finance, business, careers, and life skills.

Basic finance

Educators

Use our worksheets, lessons, and activities for teaching money, business, and life skills.

Basic finance

Kids and Money

Money lessons for kids. Financial literacy and life skills for every child.

Basic finance

Teach and learn basic money skills, personal finance, business, careers, and life skills.

featured lessons

Featured lessons and learning resources

Earning Money

Basic finance

Teach and learn about earning and making money.

Down Payments

Basic finance

Students will begin to understand the topic of down payments. In our Money Math Lessons category.

Online Banking

Basic finance

Learn modern internet banking skills using our online banking simulation.

Teachers – Parents – Educators

Use our worksheets, lessons, and activities for teaching money, personal finance, business, and life skills.

Teach and Learn

Teaching lessons and informational resources

Basic finance

Lessons, Lesson Plans, and Worksheets

Lessons, lesson plans, worksheets, and other material for teaching money skills, personal finance, business, careers, and life skills.

Basic finance

Informational Resources

Useful personal finance information, articles, advice, and tips to help you with your own spending, financial planning, career, business, and other life skills.

Teach and learn money skills, personal finance, money management, business, careers, real life skills, and more.

Basic finance

Many young people graduate without a basic understanding of money and money management, business, the economy, and investing. We hope to help teachers, parents, individuals, and institutions teach these skills, while reinforcing basic math, reading, vocabulary, and other important skills.


Basic Money Lessons You (Probably) Missed in High School #republic #finance


#basic finance

#

Basic Money Lessons You (Probably) Missed in High School

Odds are, you graduated from high school without being taught basic money lessons. Only 13 states currently require high school students to take a personal-finance course to graduate—and that number was significantly less 10 years ago. For those who graduated high school without learning the fundamentals of money management, we’ve outlined six quick lessons to help you brush up on your personal-finance knowledge.

How to budget.

The key to budgeting is figuring out how to prioritize. The best way to decide where your money should go is to create a monthly budget. First, calculate how much money you have coming in. Next, identify your needs: What areas require funds (i.e. car insurance and utility bills)? Tally those up and subtract the total from your monthly income. You’ll probably want to save a percentage of your income, so deduct that amount as well. After that, you’ll know how much money you have left over for discretionary spending.

The time value of money.

Saving a small amount each day can do wonders for your portfolio in the long term. For example, “Not spending $1.50 a day on a soda can have a big impact on a person’s financial future,” says David Bruzzese, coauthor of The Teen’s Guide to Personal Finance. This concept is particularly valuable for younger people, who can accumulate a lot of money over the years by taking simple steps to cut daily expenses.

Savings account vs. checking account.

A savings account is an account in which you deposit money and watch it grow as it accumulates interest. Banks will likely require you to maintain a minimum balance. A savings account is not intended for daily use, so you won’t be writing checks from it to pay for daily transactions—that’s where a checking account comes in. Ideally, you’ll store enough money in the checking account—which offers zero or little interest—so you can write checks to pay bills, as well as get a debit card linked to the account to purchase items and withdraw money from an ATM.

The implications of too much debt.

Accumulating excessive amounts of debt—whether they come from student loans, auto loans, or credit cards—can wreak havoc on your personal finances. The average American household with at least one credit card has approximately $16,000 in credit-card debt, according to CreditCards.com. If you miss payments on your credit cards, you could tarnish your credit score, and it may be hard to recover from that.

How credit works.

A high credit score makes businesses like auto lenders, banks, and insurance agencies view you as trustworthy. But when you’re just starting out, opening a checking account and a savings account enables you to show lenders that you can manage money. Once you’re able to qualify for a credit card, make your payments in full each month so that you earn good credit.

How to write a check.

Start by writing the date on the line in the upper right and the recipient on the “pay to the order of” line. Then write the amount in numeric form in the box to the right of the recipient line. On the line below, write the dollar amount using words and the cents using a fraction. For example, if you’re paying $10.25, you’d write “10 and 25/100” and then draw a line to the end (that makes it harder for someone to change the amount.) The memo line is optional, but you can use it to write what you’re paying for. Last, sign your name as it appears on the top of the check on the line to the right of the memo.

Read more Personal Finance slideshows.


What are the basic financial reports that a nonprofit must prepare? #motor #finance #corporation


#basic finance

#

Home 2-Minute FAQ Finance What are the basic financial reports that a nonprofit must prepare?

What are the basic financial reports that a nonprofit must prepare?

The basic financial reports of a nonprofit organization include:

  • Statement of financial position (also called a balance sheet): This summarizes the assets, liabilities and net assets of the organization at a specified date. It’s a snapshot of the organization’s financial position on that date.
  • Statement of activity (also called an income and expense statement): This reports the organization’s financial activity over a period of time. It shows income minus expenses, which results in either a profit or a loss.
  • Statement of cash flow: This summarizes the resources that become available to the organization during the reporting period and the uses made of such resources. It’s especially useful in real-time because it reports income that has been received and expenses that have been paid. A statement of projected cash flow is helpful for the board and organization to be able to anticipate any shortfalls for planning purposes.
  • Statement of functional expenses: Reports all expenses as related either to program services or to supporting services. Expenses under program services are shown divided among the various programs. Expenses under supporting services are generally divided between (1) management and general expenses and (2) fundraising expenses.

While these reports are extremely important in terms of understanding your organization’s financial health and conveying that information to your board, you’ll also find that these types of reports will often be required by funders when applying for grants.

Other reports, depending on your organization’s needs, are: government information returns, payroll tax returns, reports to funders, management reports, budget monitoring reports, and analysis of statements and investment reports.

A detailed list of financial reports for nonprofits, and related definitions can be found in Financial Statements of Not-for-Profit Organizations, by the Financial Accounting Standards Board (www.fasb.org ).

There are also a few accounting basics you should keep in mind. A qualified bookkeeper can help you to ensure reports are prepared properly and in a timely manner. He or she can also help to reconcile bank statements on a monthly basis, which is critical, and lend support and key information during budget development.

Finance FAQ


The Only Basic Financial Advice You – ll Ever Need #car #0 #finance


#finance advice

#

The Only Basic Financial Advice You ll Ever Need

Share the post “The Only Basic Financial Advice You ll Ever Need”

If there s one thing I am most proud of it s that I became 100% financially independent (meaning I relied on no other entity or person for income or financial assistance) before the age of 30. Yes, there was a certain degree of luck that went into that (e.g. if I d started my first company in 1999 or 2008 at the stock market peaks I almost certainly wouldn t have survived it independently), but I also followed a very simple set of broader financial management rules that allowed me to achieve financial independence at a relatively young age. Here is a basic outline of those rules:

  1. The key to financial success isn t saving more. It s investing more. In yourself. You have to maximize your primary source of income by making yourself valuable to other people in some way. Saving more isn t how most people become wealthy. Wealthy people maximize their primary source of income.
  2. Never stop learning. Education is the gateway to differentiating yourself from the crowd and constantly improving yourself so you can adapt and evolve with the ever changing economy. The internet is a gold mine of information and educational resources. Use, Khan Academy. my Understanding Money page and empower yourself with the most powerful tool you can have knowledge.
  3. Don t do something you love. Do something other people will love you for doing. Very few people earn a living doing something they truly love. But many successful people love what they do because other people value them for doing it.
  4. Keep your finances simple. Reduce the number of bank accounts and credit cards you have. Consolidate your brokerage accounts. Make your financial life more manageable. Use a personal finance app like Mint to track your finances so you can stay on top of your income, spending and investments.
  5. Automate your finances. Make sure you have auto bill pay set-up and automatically transfer funds from a savings account to an investment account on a monthly basis. Automate your investment account in a systematic plan of some sort so you don t get caught up in the allure of stock picking and trying to become the next Warren Buffett. Reduce your taxes and fees as best you can. This means taking a moderately long perspective with your investments (at least 12 months plus) and never paying for high fee investment accounts and managers.
  6. Follow the 50/30/20 rule. Spend 50% of your after tax income on essentials (housing, utilities, food, etc), 30% on personal needs (vacation, toys, leisure, etc) and save 20% of your income.
  7. Stop spending money on useless stuff . It s very unlikely that all that extra stuff you re buying is making you happier. In fact, it s probably just putting a strain on your financial budget. Don t spend to impress your friends and your neighbors. You re not winning any gold stars for owning things you can t afford. As I said in my book. The person who mistakes money for wealth will live a life accumulating things, all the while mistaking a life of owning for a life of living.
  8. Get in the financial markets! But think of your portfolio of financial assets as a Savings Portfolio and not a get rich quick Investment Portfolio . Allocate your savings in a diversified portfolio of stocks and bonds. Do not leave your cash sitting in the bank earning 0%. Max out your company 401K at least up to the match. Then invest in a Roth, SEP or 529. Invest the rest in a taxable brokerage account via low fee diversified index funds via an approach that follows a specific plan that is in accordance with your financial goals and risk tolerance. If you need an advisor to help you maintain your investments then don t pay him/her more than 0.5% per year! Make sure they adhere to a fiduciary standard.
  9. You might need life insurance at some point in your life. As a basic rule of thumb only buy life insurance if you have family members whose financial lives would be substantially altered for the worse if your income was lost. This is most common for people in their working years when they have young children. In the vast majority of cases buying a term insurance contract that covers this period (usually 20-30 years) will be the least expensive and most prudent approach to use. Do not buy variable annuities or whole life insurance as a form of life insurance.
  10. Reduce your debts. Pay off your credit card every single month. Thinking of buying a home? Don t think of it as an investment . Think of it as a massive long-term expense that will barely keep up with inflation. A house is place where you will live, not a place that will make you rich. Use Khan Academy s buy/rent calculator before you decide to invest in the American dream . If you buy a house then pay it down as quickly as you can. Mortgage is Latin for Death contract for a reason!
  11. Work your ass off. But remember that you don t live to earn money. You earn money to live. Balance is better than excess.

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*We take no responsibility for bad relationship advice.

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What are the basic financial reports that a nonprofit must prepare? #tv #finance


#basic finance

#

Home 2-Minute FAQ Finance What are the basic financial reports that a nonprofit must prepare?

What are the basic financial reports that a nonprofit must prepare?

The basic financial reports of a nonprofit organization include:

  • Statement of financial position (also called a balance sheet): This summarizes the assets, liabilities and net assets of the organization at a specified date. It’s a snapshot of the organization’s financial position on that date.
  • Statement of activity (also called an income and expense statement): This reports the organization’s financial activity over a period of time. It shows income minus expenses, which results in either a profit or a loss.
  • Statement of cash flow: This summarizes the resources that become available to the organization during the reporting period and the uses made of such resources. It’s especially useful in real-time because it reports income that has been received and expenses that have been paid. A statement of projected cash flow is helpful for the board and organization to be able to anticipate any shortfalls for planning purposes.
  • Statement of functional expenses: Reports all expenses as related either to program services or to supporting services. Expenses under program services are shown divided among the various programs. Expenses under supporting services are generally divided between (1) management and general expenses and (2) fundraising expenses.

While these reports are extremely important in terms of understanding your organization’s financial health and conveying that information to your board, you’ll also find that these types of reports will often be required by funders when applying for grants.

Other reports, depending on your organization’s needs, are: government information returns, payroll tax returns, reports to funders, management reports, budget monitoring reports, and analysis of statements and investment reports.

A detailed list of financial reports for nonprofits, and related definitions can be found in Financial Statements of Not-for-Profit Organizations, by the Financial Accounting Standards Board (www.fasb.org ).

There are also a few accounting basics you should keep in mind. A qualified bookkeeper can help you to ensure reports are prepared properly and in a timely manner. He or she can also help to reconcile bank statements on a monthly basis, which is critical, and lend support and key information during budget development.

Finance FAQ


Basic Finance for Artists – Lower Manhattan Cultural Council #tv #on #finance


#basic finance

#

Basic Finance for Artists

Basic Finance for Artists (BFA) is a free, six-week intensive seminar on personal finance, developed to help artists make informed financial decisions and plans over the long term.

Designed especially for New York City-based artists, BFA will help participants develop financial awareness and balance through practical training in money management. LMCC’s curriculum takes into consideration the complexity of artists’ income and cash flow as well as the diversity of artistic practices. Sessions are led by artists and by financial professionals with arts expertise to ensure that instruction is relevant to artists’ needs.

Each three-hour session provides a combination of seminar-style learning and hands-on group and individual exercises. Artists who participate in this seminar will gather essential personal financial information, gain a better understanding of their overall financial profile, develop skills in money management, identify their goals, connect with experienced financial and arts professionals, and access resources for ongoing learning.

More information about registration and the selection process is below.
Please note that space for BFA is limited and registration closes on March 5.

Artist will be notified of their selection by Thursday, March 19 via email. There will be a waiting list in case of cancellation.

BFA alumni enjoy access to additional resources and training through Fractured Atlas ArtHome/MassMoCA/the Midas Collective’s Assets for Artists Individual Development Account (IDA) matched savings program. More information available upon selection.

Registration is now closed. Please note you must be available to attend all sessions.

  • Budgeting
  • Tax Basics
  • Debt Credit
  • Homeownership
  • Financial Planning

Space for BFA is limited to 20 artists. Due to high demand, eligible participants will be selected through a lottery process. Only eligible and complete registrations will be included in the lottery. Artists will be notified of their selection on Tuesday, March 19, 2015.
In order to be included in the lottery, artists must complete the online registration form and meet the following eligibility requirements:

1. LMCC has secured the necessary funding to offer the seminar at no cost to participating artists. A full six-week commitment is mandatory for participation.
2. Artists should be residents of New York City (five boroughs).
3. Artists should be able to demonstrate a minimum three-year history of professional activity outside of any degree-granting program.

Note: Participants should set aside up to two hours each week for homework and workshop preparation.

Featured Event

Michael Richards: Winged

Our summer exhibition is dedicated to the late artist Michael Richards (1963-2001) and includes a range of work, most of which has not been on public view for over 15 years, as well as documentation and ephemera of his art and life. Open every Friday, Saturday, and Sunday from 12:00–5:00pm in The Arts Center at Governors Island.

Featured Program

Apply for a Creative Engagement grant!

Attention Manhattan-based artists and arts organizations!
Creative Engagement
provides seed funding to projects and activities of all disciplines that offer audiences rich art experiences. There is a final information session on September 19 and the application deadline has been extended to Fri, Sep. 30 at 5pm EST.

I was most interested in creating a personal budget. I am learning a lot by knowing how I spend money, and I realize this is the root of how I can improve and move on to investing, owning a home and reaching other goals. All of the topics covered were interesting though these topics are usually very boring, I wasn’t bored one bit during the workshops.

I’m so happy to understand –-at long last the vocabulary of finance. Learning about FICO scores, debt-to-income ratios, bonds vs. stocks vs. mutual funds, was an enormous help.

Featured Event

Michael Richards: Winged

Our summer exhibition is dedicated to the late artist Michael Richards (1963-2001) and includes a range of work, most of which has not been on public view for over 15 years, as well as documentation and ephemera of his art and life. Open every Friday, Saturday, and Sunday from 12:00–5:00pm in The Arts Center at Governors Island.

Featured Event

Open Studios on Governors Island!

Join us during the final public-access weekend on Governors Island for Open Studios with our Process Space artists in residence. On Sat, Sept 24 and Sun, Sept 25 our doors of the Arts Center at Governors Island will be wide open from 12:00–5:00pm .
Free for all!

I was most interested in creating a personal budget. I am learning a lot by knowing how I spend money, and I realize this is the root of how I can improve and move on to investing, owning a home and reaching other goals. All of the topics covered were interesting though these topics are usually very boring, I wasn’t bored one bit during the workshops.

I’m so happy to understand –-at long last the vocabulary of finance. Learning about FICO scores, debt-to-income ratios, bonds vs. stocks vs. mutual funds, was an enormous help.


What are the basic financial reports that a nonprofit must prepare? #0 #finance #cars


#basic finance

#

Home 2-Minute FAQ Finance What are the basic financial reports that a nonprofit must prepare?

What are the basic financial reports that a nonprofit must prepare?

The basic financial reports of a nonprofit organization include:

  • Statement of financial position (also called a balance sheet): This summarizes the assets, liabilities and net assets of the organization at a specified date. It’s a snapshot of the organization’s financial position on that date.
  • Statement of activity (also called an income and expense statement): This reports the organization’s financial activity over a period of time. It shows income minus expenses, which results in either a profit or a loss.
  • Statement of cash flow: This summarizes the resources that become available to the organization during the reporting period and the uses made of such resources. It’s especially useful in real-time because it reports income that has been received and expenses that have been paid. A statement of projected cash flow is helpful for the board and organization to be able to anticipate any shortfalls for planning purposes.
  • Statement of functional expenses: Reports all expenses as related either to program services or to supporting services. Expenses under program services are shown divided among the various programs. Expenses under supporting services are generally divided between (1) management and general expenses and (2) fundraising expenses.

While these reports are extremely important in terms of understanding your organization’s financial health and conveying that information to your board, you’ll also find that these types of reports will often be required by funders when applying for grants.

Other reports, depending on your organization’s needs, are: government information returns, payroll tax returns, reports to funders, management reports, budget monitoring reports, and analysis of statements and investment reports.

A detailed list of financial reports for nonprofits, and related definitions can be found in Financial Statements of Not-for-Profit Organizations, by the Financial Accounting Standards Board (www.fasb.org ).

There are also a few accounting basics you should keep in mind. A qualified bookkeeper can help you to ensure reports are prepared properly and in a timely manner. He or she can also help to reconcile bank statements on a monthly basis, which is critical, and lend support and key information during budget development.

Finance FAQ