Only 100% sure experts solve it correct complete solutions okkk. Follow information instructions must

Information P Flag question Questions 21 to 25 are short-answer questions. Each question is worth 8 marks. Provide step by step solutions for all numerical questions. Answer all the 5 short-answer questions in the space provided after each question. All numerical questions require step by step solutions. A final result without supporting evidence of step-by-step solutions may earn a zero credit. You can use excel to help answer your questions.Question 21 Not yet answered Marked out of 8.00 Flag question (a) What is net worth planning? (b) Why is net worth planning important? (c) What are the key steps involved in undertaking net worth planning? A BQuestion 22 Not yet answered Marked out of 8.00 | Flag question (a) Discuss why the financial planner needs to act ethically. (b) Is it possible for the financial planner as a businessman to be ethical and still stay in business for very long? A BI IE GO SS !Question 23 Not yet answered Marked out of 8.00 Flag question (a) Define heuristics and biases. (b) Give two examples of heuristics and two examples of biases. A B I !Question 24 Not yet answered . Marked out of 8.00 Flag question Assume that Bob Smith wishes to take a career break for one year starting one year from now. To cover the living expenses during the break year, Bob plans to take out $36,000 in today's dollars, at the beginning of next year. Assume a 5 percent annual inflation rate, and a 8 percent after-tax investment return (in the nominal term) (a) How much money should Bob invest now to meet his financial objective? (b) Explain why Bob should be concerned about the effects of inflation. 1 A B I S !Question 25 Not yet answered Marked out of 8.00 Flag question (a) Describe the four methods of risk management. (b) Do you agree with the statement that "people should insure against significant risks while assuming small risks themselves"? Explain why 7 A B I GoBlue Bird Formula Sheet FV PV = (1 +k)" FV - PV 1+ FV 1 k = PV EAR = (1+ 4) - 1 PVA =PMT I-(1+k)* k FVA =PMT (1+k )" -1 K PO = D1 PO = T - 8 Coupon Bond price = 2t=1 71+YTM)' Par Value + (1+YTM) NPV = -Co+ C1 + - C2 C3 Cn (1+k) 1 (1+k) 2 ( 1+ k)3+ ."+ (1+k)n YTM = Current yield + Capital gain yield Net worth= Total assets - Total liabilities Debt ratio = Long-term loan balance / Assets Debt service ratio = Cash loan repayment / Gross income Solvency ratio = Net worth / Asset Liquidity ratio = Current assets / Current liabilities Savings ratio = Savings / Income