Finance is the art and science of managing money. The subject of finance is concerned with the procurement, allocation, application, and disbursement of money by an organization in order to maximize its return on invested capital. It includes financial services and financial instruments.
Since every business needs funds to carry on its operations and to achieve its objectives. Finance can also be simply defined as ‘provision of money at the time of need’.
Financial management is a managerial activity which is concerned with the planning and controlling of a firm’s financial resources. It is a permanent and continuous process for every business concern.
According to Solomon:
“Financial Management is concerned with the efficient use of an important economic resource, namely, Capital Funds”
Table of Contents
- Financial Management Introduction
- Introduction to Financial Planning
- Various Decisions Under Financial Management
- Goals of Financial Management
- Time Value of Money
- Capital Budgeting Techniques
- Capital Structure
- Cost of Capital
- Leverage Analysis
- Introduction to Dividend Decision
- Dividend Decision Models
- Working Capital Management
- Long-term Sources of Finance