What is financial management?
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Answer / shilpi.anu
Financial management is the mgmt of cash and deals with
planning, budgeting and decision making of funds.
There is three main decisions in FM:
1. Dividend decision
2. Retained earning decision
3. Investment Decision
Is This Answer Correct ? | 12 Yes | 2 No |
Answer / janardhan.
finacial management is deals with procurement of funds and
utilization of effectiveness.
Is This Answer Correct ? | 6 Yes | 1 No |
The term ‘financial management’ has a number of meanings
including the administration and maintenance of financial
assets. The process of financial management may also
include identifying and trying to work around the various
risks to which a particular project may be exposed.
Some experts refer to financial management as the science
of money management – the primary usage of the term being
in the world of financing business activities. However, the
process of financial management is important at all levels
of human existence, because every entity needs to look
after its finances.
From an organizational standpoint, the process of financial
management is the process associated with financial
planning and financial control. Financial planning seeks to
quantify various financial resources available and plan the
size and timing of expenditures.
Is This Answer Correct ? | 5 Yes | 1 No |
Answer / narendra vakare
finance is an art and service of managing money.
there are two area of finance.
1. financial management/corporate finance/managerial finance
2. financial services
financial management is concerned with the procurement of
funds i.e. what are the sources from where funds can be
generated & their effective utilization of funds .
simply financial management is focused on mananging money
& it is the duty of financial manager.
Is This Answer Correct ? | 4 Yes | 0 No |
Answer / jagadeesh
Financial management deals with procurement of funds and
their effective utilization in the business.
Is This Answer Correct ? | 3 Yes | 0 No |
Answer / shoukatali
Financial management seeks to plan for the future such that
a personal or business entity has a positive flow of cash.
The term ‘financial management’ has a number of meanings
including the administration and maintenance of financial
assets. The process of financial management may also
include identifying and trying to work around the various
risks to which a particular project may be exposed.
Some experts refer to financial management as the science
of money management – the primary usage of the term being
in the world of financing business activities. However, the
process of financial management is important at all levels
of human existence, because every entity needs to look
after its finances.
From an organizational standpoint, the process of financial
management is the process associated with financial
planning and financial control. Financial planning seeks to
quantify various financial resources available and plan the
size and timing of expenditures
In the business world, this means closely monitoring cash
flow. The inflow is the amount of money coming into a
particular company, while outflow is the record of the
expenditure being made by the company in various sources
At the corporate level, the main aim of the process of
business organization is to achieve the various goals a
company sets at a given point of time. Businesses also seek
to generate substantial amounts of profits with the help of
a particular set of financial processes.
Is This Answer Correct ? | 2 Yes | 1 No |
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Introduction Mangalore Refinery and Petrochemicals Limited (MRPL) and Reliance Petroleum Limited (RPL) Table 1 : MRPL’s Income Statement and Balance Sheet (Rs. in mn) Particulars April 1999 – March 2000 April 2000 – March 2001 April 2001 – march 2002 Net Sales 30212.04 28891.50 53714.40 Other Income 701.37 524.50 439.90 Total Income 30913.41 29415.70 54154.30 Expenditure (30112.79) (27917.50) (51587.00) Interest (2369.59) (2378.30) (6722.90) Depreciation (1427.63) (1728.60) (3633.50) Tax (0.24) (0.30) 2864.30 Total Expenditure (33910.25) (32024.70) (61943.40) Profit after Tax (2996.84) (2609.00) (4924.80) Equity 7921.00 7921.00 7921.00 Reserves 1714.50 (1506.96) (4489.56) Debt 54082.97 50516.52 55356.94 . Table II : RPL’s Income statement and Balance Sheet Particulars April 2001 – March 2002 April 2000 – March 2001 Net Sales 331170.00 309630.00 Other Income 3550.00 2200.00 Total Income 334720.00 311830.00 Expenditure (299430.00) (279090.00) Interest (9550.00) (10320.00) Depreciation (8020.00) (6610.00) Tax (980.00) (1170.00) Total Expenditure (317980.00) (297190.30) Profit after Tax 16740.00 14640.00 Equity 52020.00 47488.10 Reserves - 34974.20 Debt - 74921.30 Table III : Quarterly Closing Prices (04/30/1996 to 09/30/2002) Date BSE-30 RPL MRPL 04/30/96 3376.64 14.75 32.50 06/28/96 3731.96 12.90 28.25 09/30/96 3519.42 10.25 19.35 12/24/96 2883.88 10.40 20.60 03/31/96 3360.89 12.70 17.65 06/30/97 4256.09 17.40 18.10 09/30/97 3902.03 19.00 21.60 12/31/97 3658.98 23.55 19.85 03/31/98 3892.75 20.50 19.25 06/30/98 3250.69 20.00 16.15 09/30/98 2812.49 17.60 13.90 12/31/98 3055.41 18.80 12.90 03/31/98 3739.96 18.70 10.30 06/30/99 4140.73 27.05 19.00 09/30/99 4764.92 46.90 21.00 12/30/99 5005.82 65.70 16.70 03/31/00 5001.28 60.04 12.35 06/30/00 4748.77 53.95 9.90 09/29/00 4090.38 56.75 8.80 12/29/00 3972.12 56.60 8.80 03/30/01 3604.39 48.55 7.70 06/29/01 3456.78 47.00 6.85 09/28/01 2811.66 29.75 6.30 12/31/01 3263.33 29.30 6.80 03/28/02 3469.35 25.85 6.80 06/28/02 3244.70 24.05 10.00 09/30/02 2930.51 23.10 7.65 Questions 1. Calculate the average return and risk on shares of RPL and MRPL during the period 1996-2002. divide the total risk on each of the stocks between systematic and unsystematic components. Calculate each of the components as a percentage of the total risk.
i take finance as major and marketing as minor . when i gone for marketing interview then they put question from me.if m interested in marketing job why i opt finance as major why not marketing.
I HAVE TO APPEAR IN A INTERVIEW FOR THE POST OF SENIOR ASSISTANT-FINANCE , PLEASE SUGGEST ME WHAT TYPE OF QUESTIONS THEY SHOULD ASK ME .
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