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Questions and Answers
What is the primary focus of financial management?
What is the primary focus of financial management?
Who do financial managers (FM) typically report to?
Who do financial managers (FM) typically report to?
What does short term working capital management in financial management primarily focus on?
What does short term working capital management in financial management primarily focus on?
What does financial management entail in addition to the day-to-day management of funds?
What does financial management entail in addition to the day-to-day management of funds?
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What is the overall goal of financial management?
What is the overall goal of financial management?
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What does financial management entail in addition to ensuring profitability, expenses, cash, and credit?
What does financial management entail in addition to ensuring profitability, expenses, cash, and credit?
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Who are financial managers (FM) specialized professionals directly reporting to?
Who are financial managers (FM) specialized professionals directly reporting to?
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What does financial management generally focus on in terms of short term working capital management?
What does financial management generally focus on in terms of short term working capital management?
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How is the role of financial management seen in relation to senior management?
How is the role of financial management seen in relation to senior management?
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What is financial management also involved with in addition to day-to-day management of funds?
What is financial management also involved with in addition to day-to-day management of funds?
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Study Notes
Financial Management
- Concerned with profitability, expenses, cash, and credit
- Aims to maximize the value of the firm for stockholders
- Responsible for the efficient acquisition and deployment of short- and long-term financial resources
Objectives
- Ensure the objectives of the enterprise are achieved
Financial Managers (FM)
- Specialized professionals directly reporting to senior management
- Often report to the Financial Director (FD)
- Function is seen as 'staff', and not 'line'
Role of Financial Management
- Concerned with short-term working capital management
- Focuses on current assets and current liabilities
- Manages fluctuations in foreign currency and product cycles
- Often involves hedging
Overlapping Functions
- Overlaps with treasury management
- Involved with long-term strategic financial management
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Description
Test your knowledge of financial management with this quiz! Explore topics such as profitability, expenses, cash flow, credit, and maximizing the value of the firm for stockholders. Challenge yourself with questions on efficient acquisition and deployment of financial resources to achieve business objectives.
