lesson 9 - financial management

Question 1

what is bankruptcy?

Answer 1

legal declaration of inability to repay debts

Question 2

what is a sequestration order?

Answer 2

federal court declares a person bankrupt

Question 3

what is a garnishee?

Answer 3

court order that allows the court official to take and sell some of your property. This happens when someone has won against you in court and you refuse to pay

Question 4

what is a writ of execution?

Answer 4

court order that allows the court official to take and sell some of your property. this happens when someone has won against you in court and you refuse to pay

Question 5

what are conequences of poor finanical management?

Answer 5

• debt
• personal stress
• social impacts
• legal action

Question 6

how long is short term financial planning?

Answer 6

1-3 years

Question 7

how long is medium term financial planning?

Answer 7

4-6 years

Question 8

how long is long term financial planning?

Answer 8

7+ years

Question 9

what are some recovery strategies of financial management?

Answer 9

• create a budget
• consolidate debts
• emergency savings
• seek financial help
• talk openly about money
• explore better financial deals

Question 10

what are some financial options?

Answer 10

• loans
• interest rates
• superannuation

Question 11

what is superannuation?

Answer 11

long term saving for retirement