Showing posts with label personal finance case study. Show all posts
Showing posts with label personal finance case study. Show all posts

Saturday, December 8, 2018

Case study: My clothing sofa purchase in 2000

Dec. 9, 2018

Introduction


It was another huge mistake I made. I also like to document it using a blog.

Case study


I purchased two brand new leather sofa from Rooms to go over $2,000 dollars in 1999. And I also purchased three glass tables to match the sofas. But in my bedroom, I had a sofa I moved over when I rented the place with my roommate in Unit #22.

One day my mom and I sit on the sofa, one of legs fell off. It was just a minor thing, I can drive my brand new Ford Explorer, and learn how to purchase a few nails, or ask a friend to help, put the leg back and showed off my problem solving skills.

Instead I went out with my mom and purchase two sofa from Rooms to go outlet, used ones or cheap one. But it still costs me over $600 dollars plus delivery fees.

When two delivery people moved the sofa into the living room, and they found out that the sofa could not fit into living room. Instead they just pushed so hard with scratches, put two leather sofa into my living room instead.

Actionable Items


I had a sister who was a teacher retired in the city of Shenzhen, she always planned to do things. She shared with us her plan where to put things in her new condo in Shenzhen before she hired contractor to do the work.

Compared to her, I like to review how I handle a project. Do I make a budget? Another $600 dollars? Later in 2015, my renters tried to sell those clothing sofa, but we could not sell it. I paid my renter $30.00 dollars to get rid of them. He gave away the big one to his coworker.

I really learned from the lessons how to make purchase, what is the way I solved problems. Do I try to learn something new, or reach out the community to help others when my mom was in Florida?

Always look up the salary a graduate makes in the city of Yichun, annual salary when I make a purchase. $600 US dollars sofa at that time can pay 10% of a condo in my home town. At that time I was in my 30s. I could not believe that I was so naive and indulge myself on spending.

Do not overspend. One day those classmates of mine back in my home town, yichun city jiangxi province, China all have a home, make a comfortable living with retired job and home and family, I have nothing to rely on.


Actionable Items


Follow up
March 24, 2019
Now I have one empty bedroom in the rental condo. The situation is so dynamic.

Sunday, December 2, 2018

Case study: 2010 April 23 $17000 US dollar exchange

Dec. 2, 2018

Introduction


It is time for me to work hard on personal finance. I have not learned how to be an investor in Vancouver area, I did not purchase a condo from 2010 to 2015 before the price double and double. I learn that in order for me to get smart on investment, proactive, I have to start from small project, and figure out how to make or save money through each transaction over $200 dollar, analyze them and ask why, what to learn, how to reduce risk to make mistakes. I need to case study those transaction, and then I can figure out what to do next.

Case study


I landed in Canada in 2010 April 23, I drove with my friend starting from April 10 and then landed in Canada. I made a purchase $17,000 dollars in one transaction one day.


Analysis of my transaction


I used us dollars $17,000 to get $15280 Canadian dollars. I did not hold on the transaction, open a US dollar saving account first, and then find alternative to purchase Canadian dollars. I should spend some time to do research on US dollar to Canadian dollars. 

Based on the transaction, I think that I need to bring into at least three options when I made big finance decision. 

A few ideas I should try. Break into the purchase from one time deal into six deals, $2,000 dollars a time and then learn how to get better deal, learn from the experience itself. I can talk to bank clerk every time and then get the tips and learn how to bank in Canada better. 

If I make a big purchase too quick and do not do enough home work, then I will have to learn how to catch up. Just tell myself hold on, let me think about more. 

At that time, I should work on anything making difference more than $100 dollars. I do not have job waiting for me. I need to spend time to figure out things by myself.