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Posts Tagged ‘financial check-up’

Financial check-ups will help identify possible financial problems at an early stage in the family. That way you can take action that must be done to fix it. That requires a tool or tools to perform these check-ups as well as doctors in our health check. In general, the financial condition examination carried out by calculating ratios or certain comparisons and draw conclusions from the results. There are three critical points that must be checked:

• About the present situation, measured by liquidity (the availability of cash to pay for the purposes of routine and urgent).

• The impact of past decisions of debt, measured by the solvency (ability to pay debt obligations at maturity).

• Future conditions, productivity is measured by the ratio of assets from the savings or invest. Read the rest of this entry »