Professional Documents
Culture Documents
TO FINANCIAL
MANAGEMENT
Prepared by:
Madeleen M. Hernandez, CPA
LEARNING OBJECTIVES
• Define finance management and the three key elements
to the process of financial management.
• Identify the major areas and opportunities available in the
field of finance.
• Determine and compare the legal forms of business
organization.
• Describe the managerial finance function and its
relationship to economics and accounting.
• Determine the roles of the financial manager.
• Identify the goal of the firm, corporate governance, the
role of ethics, and the agency issue.
• Discuss business taxes and their importance in financial
decisions.
What is Financial Management?
Financial Management is about preparing,
directing and managing the money activities of a
company such as buying, selling and using money to
its best results to maximize wealth or produce best
value for money.
FINANCE
• Timing is important
• Profits do not
necessarily result in
cash flows available
to stockholders
• Profit maximization
fails to account for
risk
ROLE OF THE FINANCE MANAGER
• Investment Decisions
• Financing Decisions
Corporate
Governance, Ethics
and Agency Issues
Corporate Governance