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“Errors in Preparing Financial Plan in Investment Firm”

In: Business and Management

Submitted By Madilaw
Words 2748
Pages 11
POLYTECHNIC UNIVERSITY OF THE PHILIPPINES COLLEGE OF ACCOUNTANCY
BACHELOR OF SCIENCE IN ACCOUNTANCY

Research Topic:

“Errors in Preparing Financial Plan in Investment firm”

BACKGROUND Introduction It is vitally important for the investment firm to set up a financial plan in order not to experience hardships and financial difficulties in the future of their beneficiaries. Financial plan assure financial stability and financial freedom that an investors wants to possess till the end of his/her life. The process of preparing financial plan is a routine process that indeed involves not only careful financial analysis of the investors’ current situation and long-term commitment to implement and monitor that plan throughout his/her life, but also requires careful thinking for the future. In order to properly achieve the financial planning goals, one has to monitor the performance of the financial plan as well as make proper changes when necessary. While preparing the financial plan, the pre need industries should be taken it seriously. This is because a bad financial plan will lead to over capitalization or under capitalization as well as misappropriation of funds. In endeavor action, businesses are sometimes right and make correct decisions and sometimes they are wrong and prone to errors. These firms are prone to errors, because they do not have a correct perspective of the environment or lack a correct assessment of the current situation in the environment. Hence immense care must be taken in order to avoid the collapse of the business. The pre‐need industry: an overview Pre‐need plans, according to the Securities Regulations Code of 2000, are contracts which provide for the performance of future services or payment of future monetary considerations at the time of actual need. They are payable either in cash or

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