FIN2602
EXAM PACK
,FIN2602 - PERSONAL FINANCIAL MANAGEMENT
ASSIGNMENT 2 – SEMESTER 2 2026
QUESTION 1: Feminist, Womanist and Bosadi Theorisation
[10 marks]
1.1 Explain why Nandi should prepare a budget before starting her business.
[2 marks]
Nandi should prepare a budget to determine the expected costs of establishing and
operating the bakery and to compare these costs with the R40 000 she has available. A
budget will also help her control spending, avoid unnecessary expenses and determine
whether she needs additional funding.
1.2 Identify two factors that Nandi should consider before starting her bakery
business.
[2 marks]
Two important factors are:
1. Market demand: Nandi should establish whether there are enough potential
customers in her community who are willing to buy her baked products.
2. Start-up and operating costs: She should calculate the cost of equipment,
ingredients, packaging, electricity, transport and other expenses to determine
whether the business will be financially viable.
1.3 State two sources of finance that Nandi could consider to supplement her R40
000.
[2 marks]
,Nandi could consider:
1. A small-business loan from a bank or microfinance institution.
2. A grant or funding programme aimed at supporting small businesses and
women entrepreneurs.
1.4 Explain two benefits of entrepreneurship/starting a business for women in
rural communities.
[2 marks]
1. Income generation: Entrepreneurship can provide women with an independent
source of income, helping them meet household expenses and improve their
families' financial circumstances.
2. Economic empowerment: Owning a business can increase women's financial
independence, decision-making power and participation in the local economy. It
can also create employment opportunities for other members of the community.
1.5 Recommend one financial planning tip that would help Nandi manage her
business successfully. Motivate your answer.
[2 marks]
Nandi should keep her personal and business finances separate by using a
separate bank account and keeping proper financial records. This will make it easier for
her to monitor business income and expenses, determine whether the bakery is
profitable and avoid using business money for unnecessary personal spending.
QUESTION 2: Fourth Industrial Revolution (4IR)
[10 marks]
2.1 Explain the meaning of investment planning.
[2 marks]
, Investment planning is the process of determining how a person should allocate
available money to different investments in order to achieve specific financial objectives.
It involves considering factors such as investment goals, risk, expected returns,
investment period and available funds.
2.2 Explain why it is important for a young graduate like Ndaba to start investing
early.
[2 marks]
Starting early gives Ndaba more time to benefit from compound growth, where returns
earned on an investment can themselves generate further returns. Investing over a
longer period can also help him build substantial wealth gradually while allowing him to
work towards long-term goals such as buying a home and preparing for retirement.
2.3 Explain two ways Artificial Intelligence (AI) can assist Ndaba with managing
his personal finances.
[2 marks]
1. Budgeting and spending analysis: AI can analyse Ndaba's income and
expenditure, identify spending patterns and help him create a realistic monthly
budget.
2. Financial monitoring and recommendations: AI can monitor his financial
activities and provide alerts or suggestions, such as identifying excessive
spending and helping him determine how much he could save or invest.
2.4 Explain what Pay As You Earn (PAYE) is.
[2 marks]
PAYE is a system in which an employer deducts the employee's income tax from their
salary or wages before paying the employee. The deducted amount is then paid to the
EXAM PACK
,FIN2602 - PERSONAL FINANCIAL MANAGEMENT
ASSIGNMENT 2 – SEMESTER 2 2026
QUESTION 1: Feminist, Womanist and Bosadi Theorisation
[10 marks]
1.1 Explain why Nandi should prepare a budget before starting her business.
[2 marks]
Nandi should prepare a budget to determine the expected costs of establishing and
operating the bakery and to compare these costs with the R40 000 she has available. A
budget will also help her control spending, avoid unnecessary expenses and determine
whether she needs additional funding.
1.2 Identify two factors that Nandi should consider before starting her bakery
business.
[2 marks]
Two important factors are:
1. Market demand: Nandi should establish whether there are enough potential
customers in her community who are willing to buy her baked products.
2. Start-up and operating costs: She should calculate the cost of equipment,
ingredients, packaging, electricity, transport and other expenses to determine
whether the business will be financially viable.
1.3 State two sources of finance that Nandi could consider to supplement her R40
000.
[2 marks]
,Nandi could consider:
1. A small-business loan from a bank or microfinance institution.
2. A grant or funding programme aimed at supporting small businesses and
women entrepreneurs.
1.4 Explain two benefits of entrepreneurship/starting a business for women in
rural communities.
[2 marks]
1. Income generation: Entrepreneurship can provide women with an independent
source of income, helping them meet household expenses and improve their
families' financial circumstances.
2. Economic empowerment: Owning a business can increase women's financial
independence, decision-making power and participation in the local economy. It
can also create employment opportunities for other members of the community.
1.5 Recommend one financial planning tip that would help Nandi manage her
business successfully. Motivate your answer.
[2 marks]
Nandi should keep her personal and business finances separate by using a
separate bank account and keeping proper financial records. This will make it easier for
her to monitor business income and expenses, determine whether the bakery is
profitable and avoid using business money for unnecessary personal spending.
QUESTION 2: Fourth Industrial Revolution (4IR)
[10 marks]
2.1 Explain the meaning of investment planning.
[2 marks]
, Investment planning is the process of determining how a person should allocate
available money to different investments in order to achieve specific financial objectives.
It involves considering factors such as investment goals, risk, expected returns,
investment period and available funds.
2.2 Explain why it is important for a young graduate like Ndaba to start investing
early.
[2 marks]
Starting early gives Ndaba more time to benefit from compound growth, where returns
earned on an investment can themselves generate further returns. Investing over a
longer period can also help him build substantial wealth gradually while allowing him to
work towards long-term goals such as buying a home and preparing for retirement.
2.3 Explain two ways Artificial Intelligence (AI) can assist Ndaba with managing
his personal finances.
[2 marks]
1. Budgeting and spending analysis: AI can analyse Ndaba's income and
expenditure, identify spending patterns and help him create a realistic monthly
budget.
2. Financial monitoring and recommendations: AI can monitor his financial
activities and provide alerts or suggestions, such as identifying excessive
spending and helping him determine how much he could save or invest.
2.4 Explain what Pay As You Earn (PAYE) is.
[2 marks]
PAYE is a system in which an employer deducts the employee's income tax from their
salary or wages before paying the employee. The deducted amount is then paid to the
