Question: Personal Finance Problem P1-3 Cash flows It is typical for Jane to plan, monitor, and assess her financial position using cash flows over a

Personal Finance Problem P1-3 Cash flows It is typical for Jane to

plan, monitor, and assess her financial position using cash flows over a

Personal Finance Problem P1-3 Cash flows It is typical for Jane to plan, monitor, and assess her financial position using cash flows over a given period, typically a month. Jane has a savings account, and her bank loans money at 6% per year while it offers short-term investment rates of 5%. Jane's cash flows during August were as follows: 38 38 PART ONE Introduction to Managerial Finance Item Cash inflow Cash outflow Clothes -$1,000 Interest received $ 450 Dining out -500 Groceries -800 Salary 4,500 Auto payment -355 Utilities -280 Mortgage -1,200 Gas -222 Personal Finance Problem P1-3 Cash flows It is typical for Jane to plan, monitor, and assess her financial position using cash flows over a given period, typically a month. Jane has a savings account, and her bank loans money at 6% per year while it offers short-term investment rates of 5%. Jane's cash flows during August were as follows: 38 PART ONE Introduction to Managerial Finance Item Cash inflow Cash outflow Clothes Interest received $ 450 -$1,000 Dining out -500 Groceries -800 Salary 4,500 Auto payment -355 Utilities -280 Mortgage -1,200 Gas -222 a. Determine Jane's total cash inflows and cash outflows. b. Determine the net cash flow for the month of August. c. If there is a shortage, what are a few options open to Jane? d. If there is a surplus, what would be a prudent strategy for her to follow?

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