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INTRODUCTION TO FINANCIAL MANAGEMENT

INTRODUCTION TO FINANCIAL MANAGEMENTUNIT-1 MEANING OF FINANCIAL MANAGEMENT Financemaybedefinedastheartandscienceofm anagingmoney. Itincludesfinancialserviceandfinancialin struments. OF FINANCIAL MANAGEMENT Thetermfinancialmanagementhasbeendefined bySolomon, Itisconcernedwiththeefficientuseofanimpo rtanteconomicresourcenamely,capitalfunds . FinancialManagementdealswithprocuremento ffundsandtheireffectiveutilizationintheb usiness . Weston and Brigham : FINANCIAL MANAGEMENT is an area of FINANCIAL decision-making, harmonizing individual motives and enterprise goals.

Financial Accounting This function involves the preparation of the financial statements for the firm, such as the balance sheet, income statement, and the statement of cash flows. • Cost Accounting This department often has responsibility for preparing the firm’s

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