This individualized, competency-based unit on managing finances, the 16th of 18 modules, is on the third level of the revised Program for Acquiring Competence in Entrepreneurship (PACE). Intended for the advanced secondary and postsecondary levels and for adults wanting training or retraining, this unit, together with the other materials at this level, emphasizes the actual application of a business plan. Ten competencies are dealt with in this instructional unit, including (1) explaining the importance of cash flow management, (2) identifying financial control procedures, (3) describing how to find cash flow patterns, (4) analyzing trouble spots in financial management, (5) describing how to prepare an owner's equity financial statement, (6) describing how to compute various financial ratios, (7) analyzing financial management ratios applicable to small businesses, (8) identifying the components of break-even analysis, (9) computing and analyzing break-even point problems, and (10) reviewing microcomputer applications for financial management. Materials provided include objectives, preparation information, an overview, content (with questions in margins that guide the students' reading), activities, assessment forms, and notes and sources. The unit requires using approximately 3 hours of class time. (YLB)