Rubie A.

Lagare September 24,2021

CBET 22-102E

Asynchronous class for Financial Managememt

1. What is understanding about finance?

>Finance is when we grant or give funds and manage individuals, businesses, and the
government. In simple words, finance is money management including investing, renting, saving,
budgeting, etc. It is not about shifting money. Specifically, it answered questions of how an
individual, company, or government acquires money(capital) in a business context and how they
spend or invest that money .

2. Discuss the scope of financial management.

>There are three scopes of Financial Management that: Investment Decision. Financing Decision
and. Asset Management Decision.

Investment Decision relates to how the funds' firms are to be invested into different assets to how
earn the highest possible return for the investors. The second, Financing Decision is focused on
the borrowing and allocation of funds required for the firm's investment decisions. The last, Asset
Management Decision they made decisions on behalf of their clients and is required to do so in
good faith. According to the modern approach, three important decisions are taken under
financial management.

3. What are the objective of financial Management?

>The objectives of financial management have been divided into two-part. First, profit
maximization represents the process to reduce risk and uncertain factors in business decisions and
operations. In other words, all decisions, whether investment or financing, etc. And the second
one, Wealth maximization, is increasing the value of a business to increase the share by its
stockholders.

4. Explains the functions of Financial Management

> Financial Management has functions such as forecasting financial requirements, acquiring
necessary capital, investment decision, cash management, and interrelation with other
departments. These all functions of financial management are so crucial to the business. As a
finance manager, he must know to have fundamental knowledge in accounting, economics,
finance, and management. Finance is such a difficult field in business.
 5. What is the impact of Financial Management to your life as a student?
>The impact of financial Management on my life is so many things because finance helps shape my
career in the future and gives me the knowledge and to train my planning and budget my finances or
money more systematically. Financial Management helps me in budgeting my income. Budgeting
helps my planning income, what to spend my money, how much revenue should save, and how much
I should invest. To my lifestyle plan, stick to what I have budgeted, avoid overspending and direct
your money towards savings. As a student, I need to improve my knowledge and financial behavior
since it will impact my future life and personal well-being.