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The basic financial decisions include long term investment decisions, financing decisions and dividend decisions. Investment Decision relates to the selection of assets in which funds will be invested by a firm. These decisions are of two types Capital Budgeting Decisions and Working Capital Decisions. Financing Decision is broadly concerned with the asset-mix or the composition of the assets of a firm. The concern of the financing decision is with the financing-mix or capital structure or leverage. Dividend Policy Decision isrelated to the dividend policy.
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What are the basic financial decisions?
basic financial decisions are three type: 1. Financial Decisions, 2.Investment Decisions, 3.Dividend Decision.
What is the Financial function in an organization?
The financial function in an organization encompasses the management of financial resources, including budgeting, forecasting, investing, and managing cash flow. It ensures the organization has sufficient funds to operate and grow while maximizing returns on investments. This function also involves financial reporting and compliance to provide transparency and accountability to stakeholders. Ultimately, it plays a critical role in strategic decision-making and achieving the organization's financial goals.
What is the significance of exposure to the financial manager?
Exposure to the financial manager is significant as it provides insights into the organization's financial health and strategic direction. It allows stakeholders to understand financial decision-making processes, assess risks, and evaluate investment opportunities. Additionally, this interaction fosters transparency, enhances communication, and helps align financial goals with overall business objectives. Ultimately, it contributes to informed decision-making and promotes accountability within the organization.
What is financial function in business organization?
financial functions of a business organization
Who looks after money in a organization?
In an organization, the finance department is primarily responsible for managing money. This includes roles such as the Chief Financial Officer (CFO), accountants, and financial analysts, who oversee budgeting, accounting, and financial reporting. They ensure that funds are allocated efficiently, expenses are tracked, and financial health is maintained. Additionally, management and department heads may also play a role in financial decision-making within their areas.
The basic financial statements of business organization?
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What are the basic financial decisions?
basic financial decisions are three type: 1. Financial Decisions, 2.Investment Decisions, 3.Dividend Decision.
What is the Value of ratio analysis to the strategic decision making of an organization?
Importance of financial ratio analysis on investment decision making?
How does accounting information help an organization?
It assist the organisation to mak decision on their financial statement.
Is creditor an internol user?
A creditor is generally considered an external user of financial information. They are not part of the organization but rely on financial statements to assess the creditworthiness and financial health of the business. Internal users, such as management and employees, use financial information for decision-making within the organization.
What is the deciding financial policy?
The deciding financial policy refers to the framework or set of principles that guide an organization's financial decision-making process. It typically includes guidelines on budgeting, investing, borrowing, and overall financial management to ensure the organization's financial stability and success. The policy is designed to align with the organization's goals and objectives while adhering to regulatory requirements and best practices in financial management.
Why do most companies adhere to GAAP for their basic internal financial statements?
Accural accounting provides a uniform method to measure an organization's financial performance.
What are the roles of Management in Accounting?
The role of management levels in accounting is to get full information about the financial position in the organization to get the decision
What is the Financial function in an organization?
The financial function in an organization encompasses the management of financial resources, including budgeting, forecasting, investing, and managing cash flow. It ensures the organization has sufficient funds to operate and grow while maximizing returns on investments. This function also involves financial reporting and compliance to provide transparency and accountability to stakeholders. Ultimately, it plays a critical role in strategic decision-making and achieving the organization's financial goals.
What is the significance of exposure to the financial manager?
Exposure to the financial manager is significant as it provides insights into the organization's financial health and strategic direction. It allows stakeholders to understand financial decision-making processes, assess risks, and evaluate investment opportunities. Additionally, this interaction fosters transparency, enhances communication, and helps align financial goals with overall business objectives. Ultimately, it contributes to informed decision-making and promotes accountability within the organization.
What is the basic thrust of strategic decision making?
The basic thrust, or idea, of strategic decision making is choosing actions that will help an organization or group achieve its goals or continue to achieve them. It involves choosing these actions wisely and effectively carrying them out.
What is the End product of financial accounting?
Financial Accounting is concerned with preparation of Financial Statements that would serve the interests of Investors, Banks, Creditors, and general public at large. The aim of Financial Accounting is to facilitate Financial Decision Making based on Accurately Gathered Significant financial Information pertaining to the Performance of the Organization and also giving information about the Current position of the Organization's Assets and Liabilities.
