1. Given the following information, develop a beginning-of-the-year statement of financial position.

Beginning date    January 1, 2018

End date               December 31, 2018

Client name           Frank and Lois Fox

Additional transactions:

Made a joint gift of bedroom furniture with a fair market value of $2,000 to Frank's little sister Section 401(k) plan employer match = 3% of income Bought a go-cart for their son for $1,200

2. Use the data in Problem 1 to create a personal statement of cash flows

3. Use the data in Problem 1 to create a statement of changes in net worth.

4. Use the data in Problem 1 to an end-of-t statement of financial position.

5. Use the results from problems 1-4 to calculate the following ratios for year-end:

a. Emergency fund

b. Current ratio

c. Total debt to net worth

d. Long-term debt to net worth

e. Total debt to total assets

f. Long-term debt to total assets

g. Monthly housing costs to monthly gross income

h. Monthly housing costs and other debt repayments to monthly gross income

i. Savings ratio

j. Net cash flow plus savings to annual gross income

k. Income on investments

I. Return on investments

m. Investment assets to annual gross income

6. Discuss the financial position of the Foxes as based on the ratios you calculated in the previous problem.