Question: What Factors Affect Your Financial Decisions?

What are two economic factors that affect financial decisions?

Economic factors include the global economy, inflation, and interest rates.

Likewise, what are the factors that affect personal financial decisions?…Consumer prices.

Inflation.

Consumer Spending.

Interest Rates.Unemployment Rate.Personal Risk.Inflation Risk.Interest- Rate Risk..

What are 5 factors that influence our decisions?

There are several important factors that influence decision making. Significant factors include past experiences, a variety of cognitive biases, an escalation of commitment and sunk outcomes, individual differences, including age and socioeconomic status, and a belief in personal relevance.

Which of the following factors can influence decisions?

NEFE Finance Review (Chapter 27 & 28; Unit 3 & 4)ABWhich stage in the financial planning process follows the stage, “Analyze Information”?Create a planWhich of the following factors can influence decisions?Age, values, family and peersWhich of the following is considered a need and not a want?A place to sleep94 more rows

What is corporate financial strategy also discuss various factors affecting financial strategy of any firm?

Common mechanisms of corporate financial strategies include: Value-based management, strategic planning, mergers and acquisitions, cost analysis, and capital budgets which are used by chief financial officers, managers, and planning teams to create shareholder value.

What are the factors that needed to be considered in project finance?

The 6 criteria used to assess requests for financingCalibre of the business principals. Principals are the primary source of fuel for business projects. … Business environment risks. … Project credibility. … Company’s ability to pay and financial structure. … Principals’ financial history. … Security.

What are the factors affecting a company’s choice of financing?

Factors Affecting Source of FinanceCost: … Financial strength and stability of operations: … Form of organization and legal status: … Purpose and time period: … Risk profile: … Control: … Effect on credit worthiness: … Flexibility and ease:More items…•

What are financial factors?

It is a score card on the financial performance of your business that reflects when sales are made and when expenses are incurred. It draws information from the various financial models developed earlier such as revenue, expenses, capital (in the form of depreciation), and cost of goods.

What are non financial factors?

Non-financial factors to consider include: meeting the requirements of current and future legislation. matching industry standards and good practice. improving staff morale, making it easier to recruit and retain employees. improving relationships with suppliers and customers.

What are the 7 key components of financial planning?

The 7 Elements of a Financial PlanRetirement plans.Investment management.Social Security Planning.Risk Management.Tax Planning.Estate Planning.Cash flow and budgeting.

What are sociocultural factors?

Sociocultural factors are the larger scale forces within cultures and societies that affect the thoughts, feelings and behaviors. Such factors include: Attitudes. Child rearing practices. … Cultural deprivation.