Solution Manual and Answer Guide for Personal Finance, 14th Edition By (E. Thomas Garman, 2024) Verified Chapters 1 - 17, Complete Newest Version

SOLUTION MANUAL

Personal Finance, 14th Edition

By E. Thomas Garman, Chapter 1 - 17

,TABLE OF CONTENTS bg bg bg




Part I: FINANCIAL PLANNING.
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1. Understanding Personal Finance.
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2. Career Planning.
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3. Financial Statements, Goals, and Budgets.
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Part II: MONEY MANAGEMENT.
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4. Managing Income Taxes.
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5. Managing Checking and Savings Accounts.
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6. Building and Maintaining Good Credit.
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7. Credit Cards and Consumer Loans.
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8. Vehicles and Other Major Purchases.
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9. Obtaining Affordable Housing.
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Part III: INCOME AND ASSET PROTECTION.
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10. Managing Property and Liability Risk.
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11. Planning for Health Care Expenses.
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12. Life Insurance Planning.
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Part IV: INVESTMENTS.
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13. Investment Fundamentals.
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,14. Investing in Stocks and Bonds.
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15. Mutual and Exchange-Traded Funds.
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16. Real Estate and High-Risk Investments.
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17. Retirement and Estate Planning.
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Solution and Answer Guide bg bg bg


GARMAN/FOX,B G PERSONALB G FINANCEB G 14E,B G CHAPTERB G 1:B G THINKINGB G LIKEB G AB G FINANCIALB G PLANNER


TABLE OF CONTENTS
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AnswersbgtobgChapterbgConceptbgChecks...................................................................................... 2
WhatbgDobgYoubgRecommendbgNow? ........................................................................................... 4
Let’sbgTalkbgAboutbgIt ................................................................................................................................................... 5
DobgthebgMath ................................................................................................................................ 6
FinancialbgPlanningbgCases ............................................................................................................ 8
ExtendedbgLearning ..................................................................................................................... 10

, ANSWERS TO CHAPTER CONCEPT CHECKS
BG BG BG BG




LO1.1bgRecognizebgthebgkeysbgtobgachievingbgfinancialbgsuccess.
1. Explainbgthebgfivebgstepsbginbgthebgfinancialbgplanningbgprocess.

Answer:bgTherebgarebgfivebgfundamentalbgstepsbgtobgthebgpersonalbgfinancialbgplanningbgprocess:bg
(1)bgevaluatebgyourbgfinancialbghealthbgtobgyourbgeducationbgandbgcareerbgchoice;bg(2)bgdefinebgyour
bgfinancialbggoals;bg(3)bgdevelopbgabgplanbgofbgactionbgtobgachievebgyourbggoals;bg(4)bgimplementbgsp

endingbgandbgsavingbgplansbgtobgmonitorbgandbgcontrolbgprogressbgtowardbgyourbggoals;bgandbg(5)b
greviewbgyourbgfinancialbgprogressbgandbgmakebgchangesbgasbgappropriate.


2. Distinguishbgamongbgfinancialbgsuccess,bgfinancialbgsecurity,bgandbgfinancialbghappiness.

Answer:bgFinancialbgsuccessbgisbgthebgachievementbgofbgfinancialbgaspirationsbgthatbgarebgdesired,
bgplanned,bgorbgattempted.bgSuccessbgisbgdefinedbgbybgthebgindividualbgorbgfamilybgthatbgseeksbgit.bgF

inancialbgsuccessbgmaybgbebgdefinedbgasbgbeingbgablebgtobglivebgaccordingbgtobgone’sbgstandardbgof
bgliving.bgFinancialbgsecuritybgisbgthatbgcomfortablebgfeelingbgthatbgyourbgfinancialbgresourcesbgwillb

gbebgadequatebgtobgfulfillbganybgneedsbgyoubghavebgasbgwellbgasbgyourbgwants.bgFinancialbghappine

ssbgisbgthebgexperiencebgyoubghavebgwhenbgyoubgarebgsatisfiedbgwithbgmoneybgmatters.bgPeoplebgw
hobgarebghappybgaboutbgtheirbgfinancesbgwillbgseebgabgspilloverbgintobgpositivebgfeelingsbgaboutbglife
bginbggeneral.


3. Summarizebgwhatbgyoubgwillbgaccomplishbgstudyingbgpersonalbgfinance.

Answer:bgSeveralbgthingsbgcanbgbebgaccomplishedbgbybgstudyingbgpersonalbgfinance.bgRecognizebgho
wbgtobgmanagebgunexpectedbgandbgexpectedbgfinancialbgevents.bgPaybgasbglittlebgasbgpossiblebginbginc
omebgtaxes.bgUnderstandbghowbgtobgeffectivelybgcomparisonbgshopbgforbgvehiclesbgandbghomes.bgProt
ectbgwhatbgwebgown.bgInvestbgwisely.bgAccumulatebgandbgprotectbgthebgwealthbgthatbgwebgmaybgchoose
bgtobgspendbgduringbgourbgnon-workingbgyearsbg(e.g.,bgretirement)bgorbgdonate.


4. Whatbgarebgthebgbuildingbgblocksbgtobgachievingbgfinancialbgsuccess?

Answer:bgThebgbuildingbgblocksbgforbgachievingbgfinancialbgsuccessbgincludebgabgfoundationbgofbgr
egularbgincomebgthatbgprovidesbgthebgmeansbgtobgsupportbgyourbglifestylebgandbgsavebgforbgdesired
bggoalsbginbgthebgfuture.bgThebgfoundationbgsupportsbgabgbasebgofbgvariousbgbanking bgaccounts,bgin

surancebgprotection,bgandbgemployeebgbenefits.bgThenbgwebgcanbgestablishbggoals,bgabgrecordkeepi
ngbgsystem,bgabgbudget,bgandbganbgemergencybgsavingsbgfund.bgWebgwillbgalsobgmanagebgvariousbg
expensesbgsuchbgasbghousing,bgtransportation,bginsurance,bgandbgthebgpaymentbgofbgtaxes.bgWebgwil
lbgalsobgneedbgtobghandlebgcredit,bgsavings,bgandbgeducationalbgcosts.bgFinally,bgwebginvestbginbgvari
ousbginvestmentbgalternativesbgsuchbgasbgmutualbgfunds,bgstocks,bgandbgbonds,bgoftenbgforbgretire
ment.bgAsbgabgresultbgofbgallbgthesebgbuildingbgblocks,bgwebgarebgmorebgaptbgtobghavebgabgfinanciall
ybgsuccessfulbglife.

LO1.2bgUnderstandbghowbgthebgeconomybgaffectsbgyourbgpersonalbgfinancialbgsuccess.
1. Summarizebgthebgphasesbgofbgthebgbusinessbgcycle.