Financial Management Unit 1 Pdf Financial Capital Dividend Financial management: this area is concerned with financial decision making within a business entity. financial management decisions, include maintaining optimum cash balance, extending credit, mergers and acquisitions, raising of funds and the instruments to be used for raising funds and the instruments to be used for raising funds etc. As an introduction to financial management, in this article, we will look at the nature, scope, and significance of financial management, along with financial decisions and planning.
Financial Management Full Chapter Part 1 Pdf Financial Capital It defines financial management as the efficient and effective management of money to accomplish organizational objectives. it discusses the key elements of financial management including investment decisions, financial decisions, and dividend decisions. Financial management is the process by which a firm creates and implements a financial system which enables it to achieve its goals and drive shareholder value via optimum resource utilisation and deployment in various asset classes. This document provides an overview of key concepts in financial management including: the meaning and definitions of finance, business finance, financial management, and their objectives. the traditional and modern approaches to financial management, including the functions of finance managers. Definition of financial management –managerial activities which deals with planning and controlling of firms and financial sources. –financial management is an area of financial decision making, harmonsing individual motives and enterprise goals. weston brigham.
Chapter 1 Introduction To Financial Management Studocu This document provides an overview of key concepts in financial management including: the meaning and definitions of finance, business finance, financial management, and their objectives. the traditional and modern approaches to financial management, including the functions of finance managers. Definition of financial management –managerial activities which deals with planning and controlling of firms and financial sources. –financial management is an area of financial decision making, harmonsing individual motives and enterprise goals. weston brigham. “financial management is the activity concerned with planning, raising, controlling and administering of funds used in the business.” – guthman and dougal. Meaning of financial management • finance may be defined as the art and science of managing money. • it includes financial service and financial instruments. • finance function is the procurement of funds and their effective utilization in business concerns. What is the goal of financial management? what investments should a business make? how do investments get financed? how are daily financial activities managed? attend college or start work? buy or lease a car? pay cash of use a credit card? obtain a fixed or variable home mortgage? buy a bond of a share of stock? how do i save for retirement?. Objectives of financial management may be broadly divided into two parts such as: 1. profit maximization. 2. wealth maximization. • main aim of any kind of economic activity is earning profit. a business concern is also functioning mainly for the purpose of earning profit.
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