Define finance function and discuss its nature, Financial Management

Q. Define Finance Function and discuss its nature and scope

Ans. Meaning of Finance: - Finance is defined as the provision of funds at the time when it is required. The role of funding in business enterprise requires no emphasis. Each enterprise whether big or small requires finance to carry on and expand its operations. Finance embraces the key to all the business activities and a firm's success and in fact its survival is dependent upon how resourcefully it is able to acquire and utilize the funds.

Meaning of Financial Management: - Financial management is a very important and an integral part of business management. It refers to that division of managerial activity which is concerned with planning and controlling of financial resources of the enterprise. It deals with increasing finance for the enterprise and the efficient utilization of such finance.

Definition of Financial Management: - According to Joseph L. Massie 'Financial management is the functioning activity of a business that is responsible for obtaining and effectively utilizing the funds necessary for efficient operations.'

Posted Date: 8/3/2013 2:25:34 AM | Location : United States







Related Discussions:- Define finance function and discuss its nature, Assignment Help, Ask Question on Define finance function and discuss its nature, Get Answer, Expert's Help, Define finance function and discuss its nature Discussions

Write discussion on Define finance function and discuss its nature
Your posts are moderated
Related Questions
Q. Major objective of working capital management? The major objective of working capital management is to decide the optimum amount of working capital required. Usually managem

Q. Example on compound value of the single flow? Mr. X invests Rs. 1000 at 10% is compounded yearly for three years. Compute value after three years. FV = PV (1+i) n FV

Stock Exchange of Hong Kong Securities trading in Hong Kong started in 1866; however, the first formal stock market, the Association of Stockbrokers in Hong Kong, was establish

Is the difference between the market value of the shares (capitalization) and their book value a good measure for the value creation in a company since its foundation? Value cr

Discuss the relationship between financial decision making and risk and return. Would all financial managers view risk-return tradeoffs similarly

Question 1 Analyse the financial requirements of a FMCG company 2 If you are an investor and are interested in finding out the value of an amount of Rs 10,000 to be received

Determine about the Shareholders Shareholders, being the owners of the company, elect board of directors and vote on major issues that affect functioning and long term plans of

Describe the value maximisation criterion In applying the value maximisation criterion, term value is used in terms of worth to the owners, which is, ordinary shareholders. Cap

Why would an analyst use the Modified Du Pont system to calculate ROE when ROE may be calculated more simply? Explain. In fact, an analyst would not use the Modified Du Pont equ

Suppose, you are working as an investment consultant in a consultancy firm and most of your clients are habitual investors, who are maintaining their own portfolios comprising of v