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Personal Balance Sheet
A financial statement that summarizes an individual's assets, liabilities, and net worth at a specific point in time.
Net Worth
total assets - total liabilities = persons networth
Personal Income Statement
financial report showing oneās profitability through income and expenses over a specific period
Financial Ratios
Metrics used to assess financial health to see financial stability.
ex: assets-to-liabilities ratio
Cash Flow Monitoring
tracking where your income comes from and where that money is spent
Financial Goals
Specific objectives that guide saving and spending decisions, categorized into long-term, intermediate-term, and short-term goals.
Long-Term Goals
Major financial objectives that require significant time and planning, such as starting a business or creating a retirement fund.
Intermediate-Term Goals
Financial targets that are achievable within a few years, like paying off major debt or saving for a child's college.
Short-Term Goals
Immediate financial objectives that can be accomplished within a year, such as gathering emergency funds or paying off bills.
Budget Conformity
The practice of aligning spending habits with established budget goals to ensure financial discipline.
Note 
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