Finance Book Report & Critical Analysis. Robert Kiyosaki’s book

Finance Book Report and Critical Analysis
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Finance Book Report and Critical Analysis
Introduction
Robert Kiyosaki’s Rich Dad Poor Dad makes for one of the bestselling books or literature on personal financial management and accounting for surviving the uncertainties of the highly competitive global economy. Suze Orman’s The Money Book for The Young, Fabulous & Broke also makes for another interesting on developing effective financial management practices and attitudes towards achieving personal development. The authors provide unique perspectives on personal finance and highlight equally distinct ideas on how to increase a person’s financial security across the social, political, and economic aspects of society. Both books further reveal a correlation between the proposed strategies towards improving personal finance management and the principles of accounting and finance taught in class. A comprehensive review analysis of both books creates a framework for establishing the correlation between the authors’ points of view on matters of personal finance and the principles of financial accounting.
The principles of finance and accounting not only serve to benefit the business organization’s to achieve sustainable growth and development but also enhance personal development through effective financial management. Financial management and accountability at the personal level play a significant role in determining the quality of life of individuals across the social divide around the globe. The knowledge and skills for effective financial management are often impacted through the educational forum from learning institutions as the main course of study or as one of the disciplines to be taught in one’s combination depending on the level of study and the curriculum followed. Nevertheless, financial literacy or skillful management of personal finances remains to be elusive among the younger generation of today.
Summary
Robert Kiyosaki’s Rich Dad Poor Dad presents the author’s narration of his experience while growing up in between two dads and gaining different perspectives concerning personal finance. The book builds on the premise of the common advice given to children around the world by their parents on the importance of good performance in education and its positive prospects for their future. The author believes that the often emphasized notion of getting good grades for the sole purpose of getting a good job as misleading and the main cause for the endless cycle of frustrations and dissatisfaction with one’s life. The cycle purports the author, teaches, or rather encourages people to work for monetary rewards and leaving out the integral principle of making money work for them CITATION Kiy11 \l 1033 (Kiyosaki, 2011). The outcome of the academic excellence to work cycle is facing financial struggles in one’s life as they only seek to cater to their bills without considering other options. The author identifies society’s obsession with the cycle as the main reason for financial struggles at the personal level and goes on to propose an elaborate system or strategy for liberation oneself from the same. According to Kiyosaki, the key to achieving financial independence, liberation from cumulative debts, and accumulation of wealth are recognition of assets or the knowledge of the meaning of the same CITATION Kiy11 \l 1033 (Kiyosaki, 2011). Robert Kiyosaki then goes ahead to define assets by differentiating the same with acquired liabilities that are often mistaken for assets such as mortgage housing CITATION Kiy11 \l 1033 (Kiyosaki, 2011). The breakdown functions to highlight some of the financial accounting principles and thus establishing a correlation between the latter and the book’s key takeaways.
Suze Orman’s The Money Book for The Young, Fabulous & Broke, on the other hand, provides an effective platform for the development of effective personal finance management principles. Suze Orman, a renowned TV host for various shows and an author, proposes rather unorthodox ways of overcoming debts other financial struggles such as being broke or short of cash to meet personal needs. The book targets fresh graduates who have pending student loan debts and are having a hard time figurin...