Answer:
The correct order is:
D. Define your financial goals. Pay off credit card(s) by the end of this school term.
B. Evaluate your financial health. Record all expenses for a month to compare income and expenses.
A. Develop a plan of action. Develop a budget matching income and projected expenses for the remainder of this academic year.
E. Implement the plan. Reduce expenses in problem areas so amounts do not exceed budgeted projections.
C. Review progress on the plan, reevaluate the plan, and revise the plan or start over with a new one. Based on this year, develop a revised budget for next year based on projected income and expenses.
Explanation:
The first step in financial planning is to determine your financial goals: buying a house, paying off credit card debt, paying off student loans, etc.
Next, your personal financial situation must be assessed in order to determine how far you are from achieving your financial goal.
The third step consists in devising the plan: the plan should try to concile your goals with your financial situation. The idea is to find a way to realistically attain your financial goals.
The fourth step is to implement the plan, and the fifth step is to review the results of the plan periodically, in order to correct any mistakes, or to design a new plan altogether.
