Unsourced material may be challenged and removed. It is public financial management book pdf specialized function directly associated with the top management.
The significance of this function is not seen in the ‘Line’ but also in the capacity of ‘Staff’ in overall of a company. It has been defined differently by different experts in the field. It includes how to raise the capital and how to allocate capital, i. It also deals with the dividend policies of the share holders. Planning is an inextricable dimension of financial management. The term financial management connotes that funds flows are directed according to some plan. Financial management is that activity of management which is concerned with the planning, procuring and controlling of the firm’s financial resources.
Financial Management is the Operational Activity of a business that is responsible for obtaining and effectively utilizing the funds necessary for efficient operation. Business finance deals primarily with rising administering and disbursing funds by privately owned business units operating in non-financial fields of industry. Financial Management is an area of financial decision making, harmonizing individual motives and enterprise goals. Financial management is the area of business management devoted to a judicious use of capital and a careful selection of sources of capital in order to enable a business firm to move in the direction of reaching its goals.