There are three basic decisions that a corporate manager ought to be aware and understand the relationship of each decision. These decisions are important as it dictates firm long-term profitability and survival. Therefore, it is crucial that these fundamental decision be carefully charted by the finance manager. Elaborate on these decision and give examples of each that managers took in order to implement financial strategies efficiently.

There are three basic decisions that a corporate manager ought to be aware and understand the relationship of each decision. These decisions are important as it dictates firm long-term profitability and survival. Therefore, it is crucial that these fundamental decision be carefully charted by the finance manager. Elaborate on these decision and give examples of each that managers took in order to implement financial strategies efficiently.

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Similar questions

Give an example of how the needs of a business and its financial management strategy may be taken into account when analyzing investment opportunities in order to guarantee that the best choices are selected.
What is the importance of quantifying plan? TRUE or FALSE 1. Long-term financial plans are goals that lay out the overall direction of the company.2. For corporations, the management must establish a mechanism which will allow plans to be monitored and change from time to time.
Select all that is true about the role of financial managers and the types of financial decisions they make. a. The optimal financial management strategy of a financial manager is to reduce the overall risk level of the firm.b. The duties of the financial manager includes determining the capital structure and which projects the firm should undertake.c. Capital structure describes the mix of short-term liabilities a firm uses to finance its short-term assets.d. Capital Budgeting function involves planning and determining the firm’s short term investments.e. Determining the appropriate level of inventory is a working capital management function.f. Size and timing of cash flows is unimportant in a capital budgeting decision.
Which of the following statements is(are) true about ESG? Select one or more: a. ESG is an important consideration in financial decisions as it provides a positive impact for long-term success for corporates through “Risk Reduction”. b. ESG is an important consideration in financial decisions as it provides positive impact for long-term success for corporates through “Fiscal policy”. c. ESG is an important consideration in financial decisions as it provides positive
Financial managers shouldconsider this when.improving thefinancials of the firm A. that the overall goal is the maximization of the market value of the equity through improved income and cashflows.B. that cost minimization is the primary concern of the firm.C. that exposing the firm to the most risk for the most return should be priority.D. that the personal goals of customer and employees are above the goals of the shareholders.
What goal should always motivate the action of a firm's financial manager?
Critically discuss the view that the traditional aim of financial management encourages short-termism in financial management decision-making.
Select all that is true about the role of financial managers and the types of financial decisions they make. Select one or more: a. Capital structure describes the mix of short-term liabilities a firm uses to finance its short-term assets. b. The optimal financial management strategy of a financial manager is to reduce the overall risk level of the firm. c. The duties of the financial manager includes determining the capital structure and which projects the firm should undertake. Od. Size and timing of cash flows is unimportant in a capital budgeting decision. e. Capital Budgeting function involves planning and determining the firm's short term investments. Of. Determining the appropriate level of inventory is a working capital management function. ZA do W X L
Which of the following statement is required for maintaining Inter-relation with other departments by finance manager? a.He must be well versed in the field of capital budgeting techniques to determine the effective utilization of investment b.He should have sound knowledge not only in finance related area but also well versed in other areas of activity c.He must concentrate to the principles of safety, liquidity and profitability while investing capital d.He is responsible to estimate the financial requirement of the business concern
As Financial Manager what would be your decision on assets and investment mattersto meet profit maximization? Analyze carefully and encircle your best answer.
Finance can help the corporate managers in: Multiple choice question. being able to assess the financial performance of the firm being able to come up with qualitative performance measures being able to source of employment opportunities
Financial management interacts with other departments of the firm and determines the future growth of the firm. Please discuss in short with some valid reasoning.

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