INTRODUCTION TO

FINANCIAL MANAGEMENT

Financial Management is mainly concerned with using

efficiently the important economic resources of a firm like its capital
funds. It is immediately associated to accounting which is a common
mistake that most individuals make. Financial management focuses
more on what is the interpretation of the accounting data
presented and on how to actually implement a strategy with
regards to the data presented. It is more concerned with what to do
with a firm’s capital funds. It answers questions such as “how to
raise capital?”, “how to allocate available funds”, and “what
strategy can be adapted?”.

In today’s business environment, financial managers have

been assigned various and changing roles. The modern financial
manager has now a very crucial role in the effective management of the company. It is imperative that he has
broader knowledge of the financial environment in order to take financial decisions or any corrective
measures, concerning the firm's operation. This is in contrary to the traditional role of mainly being in charge
with the procurement of cash, maintaining accurate records and preparing reports that caters to the
company’s current financial condition and performance.

Financial Management differs with Financial Accounting in that the latter mainly focuses on gathering
data in accordance with the applicable standards. With the former being able to apply the provisions of certain
accounting standards in reporting data while also being able to apply strategies that would address issues
with regards to the interpretation of those data. In simple terms, Financial Accounting is the application of
decision-making skills in interpreting the data provided by Financial Accounting. The field of Financial
Management makes huge impacts in determining what kind of investors will have and the direction of the
company in the future.

This module will allow the learners to have a grasp of what Financial Management is about and its
applications in the real world.

Definitions of Financial Management

Since Financial Management has become popular in the business world over the past couple
of years, there are many definitions coined by different people to explain the subject matter. The
definitions listed below should give a deeper sense of reflection on what Financial Management is
about.
"It is concerned with the efficient use of an important economic resource namely, capital
funds".
"Financial Management deals with procurement of funds and their effective utilization in the
business”.

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 Howard and Upton: Financial management "is an application of general managerial principles
to the area of financial decision-making”.
Weston and Brigham: Financial management “is an area of financial decision-making,
harmonizing individual motives and enterprise goals”.
Joseph and Massie: Financial management “is the operational activity of a business that is
responsible for obtaining and effectively utilizing the funds necessary for efficient operations”.
Richard A. Brealey: "Financial management is the process of putting the available funds to
the best advantage from the long-term point of view of business objectives."
Still another definition states that Financial Management is the efficient and effective
planning and controlling of financial resources so as to maximize profitability and ensuring lion
individual called personal finance), government (called public finance and for prof organization/firm
(called corporate or managerial finance).

Main Features of Financial Management

The main characteristics presented in financial management may be inferred from the
definitions presented in this module.
1. Analytical Thinking- Under financial management financial problems are analyzed and
considered. Study of trend of actual figures is made and ratio analysis is done
2. Continuous Process- previously financial management was required rarely but now the
financial manager remains busy throughout the year.
3. Basis of Managerial Decisions- All managerial decisions relating to finance are taken after
considering the report prepared by the finance manager. The financial management is the
base managerial decisions
4. Maintaining Balance between Risk and Profitability- Larger the risk in the business the
larger is expectation of profits. Financial management maintains balance between risk
profitability.
5. Coordination between Process- There is always a coordination between various processed
of the business.
6. Centralized Nature- Financial management is of a centralized nature. Other activities can be
decentralized but there is only one department for financial management.

Importance of Financial Management

As you have learned earlier, Financial management is more than just accounting. Accounting
primarily focuses on recording business transactions and every day activities whereas Financial
Management takes on the role of actually interpreting the data being reported. This involves
decision-making with regards to the firm. The right mix of fund allocation is also a vital role of
financial management since having the expertise in this area, will allow businesses to thrive in terms
of their cash management and cash flow.
Another important function of Financial Management is the ability of a firm to conduct Asset
Management. This involves the efficient allocation of available resources within a firm. Many
organizations rely not on the quantity and extent of the assets but rather on how these assets are
managed within the organization. A handful of organizations reached the pinnacle of its success even

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 with very little assets. A big part of this success is their ability to efficiently manage the available
resources they have procured. On the other hand, some firms may also experience some turbulence
in their businesses like bankruptcy and liquidation despite them having large amounts of resources
available for their disposable. This may be linked to poor financial management decisions by their
top executives.
Financial Management is important in today’s business world as it is proven to be a vital part
of an organization’s structure. Right from the recording of financial transactions to the preparation
of financial statements, organization has to make sure that proper procedures have been followed.
This is because the organization has to ultimately depend on that information for future planning
and forecasting and decision making.

Relationship with other business functions

Other organizational
functions are closely tied to
Financial Management and in one
way or another, is affected by the
decisions made by financial
managers. The following are
some of the notes with regards to
other business functions.

1. Financial Management and Economics

Economics provides a structure for decision making in such areas as risk analysis, pricing
theory through supply and demand relationships, comparative return analysis, and many
other important areas. Economics also provides the broad picture of the economic
environment in which corporations must continually make decisions. In this regard, Financial
Management is related to economics in a sense that the decision of a financial manager must
also be taking into consideration the economic environment in which the business exists.

2. Financial Management and Accounting

Financial Management, as discussed earlier is the interpretation of the data presented in
accounting. Interpretation gives color to the somewhat vague numbers presented in financial
reports. The firm’s finance and accounting activities are closely-related and generally overlap.
Accounting is sometimes said to be the language of finance because it provides financial data through
income statements, balance sheets, and the statement of cash flows. The financial manager must
know how to interpret and use these statements in allocating the firm's financial resources to
generate the best return possible in the long run.

3. Financial Management and Mathematics

Modern approaches of the financial management apply large number of mathematical and
statistical tools and techniques. They are also called as econometrics. Economic order quantity, time
value of money, cost of capital, capital structure theories, dividend theories, ratio analysis and

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 working capital analysis are used as mathematical and statistical tools and techniques in the field of
financial management.

4. Financial Management and Production Management

Profit of the concern depends upon the production performance. Production performance
finance, because production department requires raw material, machinery, wages, operating
expenses etc. Important production decisions like make or buy can be taken only after financial
implications have been considered.

5. Financial Management and Marketing

Marketing is another vital part of a firm’s profitability that is linked with financial
management. Marketing strategies such as holding inventories to provide uninterrupted service to
customers to increase sales are a cost of a firm that needs the area of financial management.
Managers need to know whether to spend much on these marketing strategies since they bring
about large chunks of their sales or just to forfeit these marketing strategies. Spending on
advertisement is also what financial managers keep an eye on depending on its relationship with the
company’s sales data.

6. Financial Management and Personnel

The provision of wages, salary, remuneration, commission, bonus, pension and other
monetary benefits has become a major financial decision in in the area of human resource
management. Should the firm give out a bonus to its employees? Or how much should a firm give as
bonus to its top performing manager? Are some questions that might be answered by financial
management.

7. Financial management and Top Management

Strategic planning and management control are two important functions of the top management.
Finance function provides the basic inputs needed for undertaking these activities.

8. Financial Management and Quantitative Methods

Quantitative methods such as linear programming, probability, discounting techniques,
present value techniques etc. are useful in analysing complex financial management
problems.

9. Financial Management and Costing

Cost efficiency is a major strategic advantage to a firm, and will greatly contribute towards its
competitiveness, sustainability and profitability. A finance manager has to understand, plan and
manage cost, through appropriate tools and techniques including Budgeting and Activity-based
Costing.

10. Financial Management and Law

A sound knowledge of legal environment, corporate laws, business laws, Import Export
guidelines, international laws, trade and patent laws, commercial contracts, etc. are again finance
executive in a globalized business scenario.

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 11. Financial Management and Taxation
A sound knowledge in taxation, both direct and indirect, is expected of a finance manager, as
all financial decisions are likely to have tax implications. Tax planning is an important function of a
finance manager. Some of the major business decisions are based on the economics of taxation. A
finance manager should be able to assess the tax benefits before committing funds.

12. Financial Management and Treasury Management

Every finance manager should be well grounded in treasury operations, which is considered
as a profit centre. It deals with optimal management of cash flows, judiciously investing surplus cash
in the most appropriate investment avenues, anticipating and meeting emerging cash requirements
and maximizing the overall returns. In banks, it includes design of new financial products from
existing products.

13. Financial Management and Banking

It is imperative for every finance manager to be up to date on the changes in services &
products offered by banking sector including several foreign players in the field. Thanks to
Government's liberalized investment norms in this sector, the banking system has essentially been
an important consideration in financing decisions.

14. Financial Management and Insurance

Evaluating and determining the commercial insurance requirements, choice of products and
insurers. analysing their applicability to the needs and cost effectiveness, techniques, ensuring
appropriate and optimum coverage, claims handling, etc. fall within the ambit of a finance manager's
scope of work & responsibilities.

15. Financial management and Information Technology

A finance manager needs to know how to integrate finance and costing with operations
through software packages. Now more than ever, the difficult job of valuation of financial
instruments in the past is now made easier with the aid of better information technology.

Scope of Financial Management

The cope of financial management includes the following A’s.

1. Anticipation
-
In financial management, estimation of a firm’s needs is important as well as
estimating the amount of income that may enter the company or the amount of
expense that a company has to incur. Anticipation involves finding out how
much finance is required by a company.
2. Acquisition
- Once the required capital or finance is determined by the company, then the
company must find out how these finances will be procured from different
sources.

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 3. Allocation
-
The collection of a firm’s finances will now be determined on where it will be
spend. Will it be spent to purchase a fixed asset? Or will it be used to purchase
inventories to increase sellable products?
4. Appropriation
- Upon earning profits, appropriation means the decision of the firm to determine
the division of profits among shareholders, credit holders, or will it be part of a
firm’s reserved capital.
5. Assessment
- This controls the financial activities of a company.

Functional Areas of Financial Management

1. Determining Sources of Funds

In a business, there are different ways in which it can procure funds. Investors/Owners
can be the easiest source of funds as they have a direct stake with regards to the company’s
financing. Another source of fund would be from the sales of the company. Externally, a
company can also tap the resources of a third-party such as a bank to finance its operations
and acquisitions.

2. Financial Analysis

The financial data reported to a company must be interpreted by financial managers and
analysts in order for them to determine where a firm performs best or slacks. It is the
evaluation and interpretation of a firm's financial position and operations, and involves a
comparison and interpretation of accounting data. The financial manager has to interpret
different statements. He is required to measure the company's liquidity, determine its
profitability, and assess overall performance in financial terms.

3. Optimal Capital Structure

Using the basic accounting equation of “Assets = Liabilities + Equities”, a firm may be able to
determine what level of its capital structure must be achieved for it to perform at a high
level. A firm may either have more debt than it has equity or the other way around. Or a
more balanced firm may opt to have its debt and equity at an equal level. The financial
manager has to establish an optimum capital structure and ensure the maximum rate turn
on investment. The financial manager should have adequate knowledge of different
empirical studies on the optimum capital structure and find out whether, and to what extent,
he can apply their findings to the advantage of the firm.

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 4. Cost-Volume-Profit Analysis

This is popularly known as the 'CVP relationship'.

The financial manager has to ensure that the
income for the firm will cover its variable costs.
This will further be discussed in more advanced
management accounting subjects. What is
important to know is that the cost and volume of
a product/service has a direct effect with its profit
and this is what financial managers need to
understand to gain an edge in their company.

5. Profit Planning and Control

Profit planning ensures attainment of stability and growth. Profit planning is an important
responsibility of the financial manager. Profit planning and control is a dual function which
enables to determine costs it has incurred, and revenues it has earned during a particular
period.

6. Fixed Assets Management

The acquisition of fixed assets involves capital expenditure

decisions and long-term commitments of funds. Because of this
long-term commitment of funds, decisions governing their
purchase, replacement, etc., should be taken with great care
and caution. It is important for financial managers to know that
funds used in fixed assets won’t be available anymore to be used
in its current operations.

7. Capital Budgeting

Capital budgeting decisions are most crucial; for they have long-term implications. They
relate to judicious allocation of capital. Current funds have to be invested in long-term
activities in anticipation of an expected flow of future benefits spread over a long period of
time. Capital budgeting forecasts returns on proposed long-term investments and compares
profitability of investments and their cost of capital. It results in capital expenditure
investment. The financial analyst should be able to blend risk with returns so as to get current
evaluation of potential investments.

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 8. Working Capital Management .

This involves the working capital equation of “Working Capital = Current Assets - Current
Liabilities”. Working capital is rightly an adjunct of fixed capital investment. It is a financial
lubricant which keeps business operations going. It is the life-blood of a firm.

9. Dividend Policies

Dividend policies constitute a crucial area of financial management. While owners are
interested in getting the highest dividend from a corporation, the Board of Directors may be
interested in maintaining its financial health by retaining the surplus to be used when
contingencies arise. A firm may try to improve its internal financing so that it may avail itself
of benefits of future expansion. However, the interests of a firm and its stockholders are
complementary, for the financial management is interested in maximizing the value of the
firm, and the real interest of stockholders always lies in the maximization of this value of the
firm; and this is the ultimate goal of financial management.

10. Acquisitions and Mergers

Firms may expand externally through co-operative arrangements, by acquiring other

concerns or by entering into mergers. Acquisitions consist of either the purchase or lease of
a smaller firm by a bigger organization. Mergers may be accomplished with a minimum cash
outlay, though these involve major problems of valuation and control.

11. Corporate Taxation

Corporate taxation is an important function of the financial management, for the former has
a serious impact on the financial planning of a firm.

Explain activity: As a student studying Bachelor of Science in Accountancy/Management

Accounting, explain why you should have knowledge with regards to Financial Management.
Limit your explanation in five to ten sentences.

Elaborate activity: Through an infographic portray the relationships of financial management

with the other business functions.

Evaluate activity (Assignment #1) This should be done after reading all of Module 1: Using the
Ten Axioms of Financial Management, create a reflection paper that details your own
understanding of these axioms.

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 Financial Management Process

Financial Planning Financial Control
- Create Budgets -Control Cash Flows
and Forecasts - Control Cash
- Determine the Acquisitions and
sources of funds Expenditures
-Addresses whether
company assets are
being used
efficiently
Financial
Decision-Making
-Investment
Decisions (Where
do you invest
scarce resources?)
- Financing
Decisions (Where
should the needed
capital be sourced
out?)
- Dividend Decisions
(How much of the
profit should be
reinvested or
returned?)
- Liquidity Decisions
(How should the
working capital be
managed?)

Jobs in Financial Management

There are different career paths that may be undertaken when Financial
Management is the are of expertise to e studied. A detailed discussion of Jobs in Finance is
further discussed in Chapter 1 of Brigham’s Fundamentals of Financial Management.

Investment Banking Jobs are generally involved in working with corporations,

government and other large institutions giving them strategic advices. Hedge Fund Jobs are
among the most sought-after jobs in the financial world. Depending on the firm and the level
of the trader, these jobs can involve taking orders from portfolio managers or using discretion
on what to buy and sell. Financial Advisory Jobs are perhaps the most familiar to the general
public and are primarily focused upon providing financial services to the retail investor. The
term "financial advisor" encompasses a variety of jobs whose practitioners have often been
referred to stockbrokers, although the industry has tried to move away from that term.
Financial Media Jobs incorporate knowledge of finance and economics with the ability to
write or speak intelligently about the markets. Individuals interested in these jobs should
possess superior communication skills as well as market savvy. Analyst Jobs are among the
most common in the financial industry and can encompass a variety of different job
descriptions. Portfolio Management Jobs are some of the prestigious roles in the finance
industry and involve directly managing institutional and retail client portfolios. Trading jobs
are found at a variety of institutions including commercial and investment banks, asset
management firms and hedge funds.
There are a variety of certifications that are applicable to Financial Management as
well such as Certified Financial Planner, Chartered Financial Analyst, Certified Fund
Specialist, and Certified Management Accountant.

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 TEN AXIOMS THAT FORM THE BASICS OF FINANCIAL MANAGEMENT

1. The Risk-Return Trade-off

- We won’t take on additional risk unless we expect tp be compensated with an
additional return
2. The Time Value of Money
- A dollar received today is worth more than a dollar received in the future. (This is
further discussed in a separate module)
3. Cash Flows is King
- This states that Cash flows and not profits is king in terms of financial
management
4. Incremental Cash Flows
- Only the cash flows that changes are the ones that count
5. The Curse of Competitive Markets
- Why it’s hard to find exceptionally profitable projects
6. Efficient Capital Markets
- The markets are quick and the prices are right
7. The Agency Problem
- Managers will not work for the owners unless it is in their best interests
8. Taxes Bias Business Decisions
- In evaluating projects, income taxes ply a significant role in the decision-making
9. All Risks are Not Equal
- Some risks can be diversified away and some cannot
10. Ethical Behavior is Doing the Right Thing
- Ethical dilemmas are everywhere in finance

GOAL AND OBJECTIVE OF THE FIRM

Objectives of Financial Management may be broadly divided into:
1. Profit Maximization
2. Wealth Maximization

Profit maximization is basically is a single-period or, at most, a short-term goal, to be

achieved within one year; it is usually interpreted to mean the maximization of profits within
a given period of time. A corporation may maximize its short-term profits at the expense of
its long-term profitability. In contrast, stockholder wealth maximization is a long-term goal,
since stockholders are interested in future as well as present profits.

Wealth maximization is generally preferred because it considers (1) wealth for the long
term, (2) risk or uncertainty, (3) the timing of returns, and (4) the stockholders' return. Timing
of returns is important; the earlier the return is received; the better, since a quick return
reduces the uncertainty about receiving the return, and the money received can be
reinvested sooner.

Generally speaking, a firm must set its goals into maximizing its wealth rather than its
profits in order for it to have sustainability in the long-run.

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 EXERCISE 1-1

Name: Date: Score:

Professor: Schedule:

1. In most corporations, the CFO ranks under the CEO.

a. True
b. False

2. The Chairman of the Board must also be the CEO.

a. True
b. False

3. The board of directors is the highest ranking body in a corporation, and the
chairman of the board is the highest ranking individual. The CEO generally works
under the board and its chairman, and the board generally has the authority to
remove the CEO under certain conditions. The CEO, however, cannot remove the
board, but he or she can endeavor to have the board voted out and a new board
voted in should a conflict arise. It is possible for a person to simultaneously serve as
CEO and chairman of the board, though many corporate control experts believe it is
bad to vest both offices in the same person.
a. True
b. False

4. As a result of financial scandals occurring during the past decade, there has been
a strong push to improve business ethics.
a. True
b. False

5. There are many types of unethical business behavior. One example is where
executives provide information that they know is incorrect to banks and to
stockholders. It is illegal to provide such information to banks, but it is not illegal to
provide it to stockholders because they are the owners of the firm, not outsiders.
a. True
b. False

6. If a lower level person in a firm does something illegal, like “cooking the books” to
understate costs and thereby increase profits above the correct profits because he
or she was told to do so by a superior, the lower level person cannot be prosecuted
but the superior can be prosecuted.
a. True
b. False

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 7. Managers always attempt to maximize the long-run value of their firms' stocks, or
the stocks' intrinsic values. This is exactly what stockholders desire. Thus, conflicts
between stockholders and managers are not possible. However, there can be
conflicts between stockholders and bondholders.
a. True
b. False

8. S1: The primary goal of every organization is profit maximization rather than
shareholder wealth maximization.
S2: One of the axioms in financial management states that “all risks are equal”.
a. Both Statements are true
b. Both Statements are false
c. S1 True; S2 False
d. S2 True; S1 False

9. S1: Patent is an example of a physical asset market.

S2: Financial Management is the efficient allocation of a company’s economic
resources.
a. Both Statements are true
b. Both Statements are false
c. S1 True; S2 False
d. S2 True; S1 False

10. S1: Capital Markets are where the interest rates of an economy are determined.
S2: Capital Markets, Financial Management and Investments are three different
concepts that are very much NOT related to each other.
a. Both Statements are true
b. Both Statements are false
c. S1 True; S2 False
d. S2 True; S1 False

11. S1: The time value of money means that “a peso today is not worth the peso
tomorrow”.
S2: Agency problem exists when the managers won’t work for the owners unless it
benefits the managers.
a. Both Statements are true
b. Both Statements are false
c. S1 True; S2 False
d. S2 True; S1 False

12. S1: The axiom that Cash Flows, not profits is king means that cash flows are given more
emphasis in financial management because they provide liquidity information about
the company.
S2: Horizontal Analysis is also known as the Common-Size Financial Statement.

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 a. Both Statements are true
b. Both Statements are false
c. S1 True; S2 False
d. S2 True; S1 False

13. S1: Working Capital is used to support the company’s day to day operations or the
company’s regular operations. The formula to compute working capital is to add
Current Assets and Current Liabilities
S2: EBIT is also the same as Earnings After Taxes.
a. Both Statements are true
b. Both Statements are false
c. S1 True; S2 False
d. S2 True; S1 False

14. Financial Managers are engaged in determining the optimal capital structure of a
given firm or the mix of its debt and equity components. What financial management
decision pertains to this?
a. Liquidity Decisions
b. Investment Decisions
c. Financing Decisions
d. Dividend Decisions

15. This term pertains to an organization’s act of doing public service or giving back to
the public like in terms of environmental protection and the like.
a. Dividend Declaration
b. Shareholder’s Wealth Maximization
c. Corporate Social Obligation
d. Corporate Social Responsibility

16. This strategy/goal focuses on the short-term returns as opposed to the long-term value
of the company.
a. Profit Maximization
b. Shareholder’s Wealth Maximization
c. Corporate Social Obligation
d. Corporate Social Responsibility

17. In the Philippines, financial statements are prepared in accordance with?

a. Philippine Accounting Standards
b. Philippine Financial Regulating Standard
c. Philippine Financial Reporting Standards
d. Conceptual Framework

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 18. Which of the following transactions will change the company’s working capital?
a. Declaration of Cash Dividends
b. Cash Purchase of Inventory
c. Credit Purchase of Inventory
d. Depreciation of Equipment

19. A scope of financial management which dicided the company’s profits among the
shareholders, debenture holders, etc and keeps a part of the profits as reserves
a. Assessment
b. Appropriation
c. Allocation
d. Anticipation

20. These jobs generally involve working with the corporations, government and other
large institutions helping them to raise capital or providing them with strategic advice.
a. Portfolio Management Jobs
b. Hedge Fund Jobs
c. Trading Jobs
d. Investment Banking Jobs

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 EXERCISE 1-2

Name: Date: Score:

Professor: Schedule:

Match Column A with Column B by writing the letter of your choice from column B on the
space provided

COLUMN A
_______1. Decisions made by managers may be in conflict with the best interests of the
shareholders
_______2. Competitors may take a controlling interest in the company if the current
management is unable to run the company effectively.
_______3. This is also known as value maximization or net worth maximization.
_______4. The financial manager is concerned with the financed of the business
_______5. Decisions related to trade off liquidity and solvency
_______6. Its formulation should lead to profitability, keeping while the image of the organization
intact.
_______7. Current funds have to be invested in long-term activities in anticipation of an expected
flow of future benefits spread over a long period of time.
_______8. They give debt financing a definite cost advantage over stock
_______9. It allows good and bad events to cancel each other out, reducing risk.
_______10. Each individual has his own set of values, which forms the basis for his personal
judgements about what is the right thing to do.
_______11. The difference between the cash flows if the project is taken on versus what
they will be if the project is not taken on.
_______12. It is characterized by a large number of profit driven individuals who act
independently. In addition, new information regarding securities arrives in the market in a
random manner.
_______13. The corporation responds to pressure from different stakeholder groups.
_______14. It is an extension of responsibility to embrace service to the public interest in
such matters as environmental protection, employee safety, civil rights, and community
involvement.
_______15. This should be constructed to also align managers’ interest with those of
stockholders as much as possible.
_______16. Cash received by the firm can be reinvested but nor accrued profits.
_______17. The greater the risk associated with any financial decision, the greater the
return expected from it.
_______18. Additional competition and added capacity can result in profits being driven
down to the required rate of return.
_______19. When new information regarding securities arrives in the market, investors
adjust to the new information immediately and buy and sell the security until they feel the
price correctly reflects the new information.
_______20. A peso received at a later time is worth less in buying power.

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 COLUMN B
A. Efficient market
B. Production management
C. Financing decision
D. Tax laws
E. Liquidity decisions
F. Investment decisions
G. Social responsiveness
H. Risk return trade off
I. Capital budgeting
J. Diversification
K. Corporate social responsibility
L. Agency problem
M. Ethical dilemma
N. Cost control
O. Threat of takeovers
P. Managerial compensations
Q. The curse of competitive markets
R. Pricing policies
S. Time value of money
T. Wealth maximizations
U. Cash flows not profits is king
V. Incremental cash flows
W. Efficient capital markets

Reference: Notes as compiled by the Faculty of the Department of Accountancy, Saint Louis
University, Contributed By: Gabriel Santos

Property of and for the exclusive use of SLU. Reproduction, storing in a retrieval system, distributing, uploading or posting online, or transmitting in any form or by any
means, electronic, mechanical, photocopying, recording, or otherwise of any part of this document, without the prior written permission of SLU, is strictly prohibited. 16