FIN2602 Assignment 2 (COMPLETE ANSWERS) Semester 2 2026 - DUE September 2026

FIN2602 Assignment 2 (COMPLETE ANSWERS) Semester 2 2026 - DUE September 2026; 100% TRUSTED Complete, trusted solutions and explanations. For assistance, Whats-App 0.8.1..2.7.8..3.3.7.2... Nandi is a 40-year-old single mother living in rural community. She has always enjoys baking and wants to start a small home-based bakery to earn additional income and improve her family’s financial wellbeing. She has saved R40 000 but is unsure whether this amount will be enough to start the business. She is also concerned about budgeting and managing her finances effectively. Required: 1.1 Explain why Nandi should prepare a budget before starting her business. (2) 1.2 Identify two factors that Nandi should consider before starting her bakery business. (2) 1.3 State two sources of finance that Nandi could consider supplementing her R40 000 when starting her business. (2) 1.4 Explain two benefits of entrepreneurship/starting a business for women in rural communities. (2) 1.5 Recommend one financial planning tip that would help Nandi manage her business successfully. Motivate your answer. (2) Question 2 (10 marks) Case Study: Fourth Industrial Revolution (4IR) Topics - Investment planning, Time value of money, Retirement planning, Personal financial planning, Tax planning Ndaba is a 24-year-old graduate who has recently started working. He receives his salary electronically from his employer and uses a mobile banking app to bills, transfer money and save, He also downloaded an investment app that allows him to invest small amounts in trusts, Recently, he received an SMS requesting his banking details to verify his bank account, He is unsure whether the message is legitimate. Ndaba also uses artificial intelligence (AI) to prepare a monthly budget and monitor his spending. Downloaded by Edge Tutor () lOMoARcPSD| FIN2602/101/3/2027 4 Required: 2.1 Explain the meaning of investment planning. (2) 2.2 Explain why is it important for young graduate like Ndaba to start investing early? (2) 2.3 Explain two ways Artificial Intelligence (AI) can assist Ndaba with managing his personal finance. (2) 2.4 Explain what pay as you earn (PAYE) is. (2) 2.5 Explain one legal way in which Ndaba can reduce his taxable income. (2) Total: