Assume you are single and have graduated from college. Your monthly  take-home pay is $2,500 and your monthly expenses total $2,300, leaving  you with a monthly surplus of $200. Develop a personal plan of action  for investing using the steps listed in Exhibit 13.5.

Exhibit 13-5 steps:

1. Establish your investment goals.

2. Determine the amount of money you need to obtain your goals.

3. Specify the amount of money you currently have available to fund your investments.

4. List different investments that you want to evaluate.

5. Evaluate (a) the risk factor and (b) the potential return for all investments.

6. Reduce possible investments to a reasonable number.

7. Choose at least two different investments.

8. Continue to evaluate your investment program.

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