Business Finance. Business Finance Business Finance or Corporate Finance, as it is also known, is the methodology of allocating financial resources with.

Slides:



Advertisements
Similar presentations
FINANCIAL MANAGEMENT I and II
Advertisements

Financing the Business Chapter 36. How are they different? The easiest way to separate accounting and finance is to think of accounting as the past and.
Financial Management I
Business Organization and Financial markets Some basic concepts Financial management: Lecture 2.
Essentials of Accounting Systems Finance for Non-Financial Entrepreneurs and Managers.
Chapter 1  Business Activities and the Role of Accounting.
17 Chapter Financial Management.
C.A. Sandeep Kapoor B Com(H),C.A.,ADBF Faculty Member,CA Final The Institute Of Chartered Accountants of India.
Introduction to Finance Department of Finance and Operations Management Instructor :Martha Edith Bellini Pg. 1 INDEX 1. Finance Overview. 2. Defining Finance.
Copyright © 2006 Pearson Addison-Wesley. All rights reserved. 9-1 Chapter (1) An Overview Of Financial Management.
Introduction to Financial Management
Strategic Financial Decision-Making Framework
Unless otherwise noted, the content of this course material is licensed under a Creative Commons Attribution-Noncommercial-Share Alike 3.0 License.
CHAPTER NO. 1 Nature & Scope of Financial Management
> > > > Financing and Investing Through Securities Markets Chapter 18.
TOPICS 1. FINANCIAL DECISIONS, INVESTMENT DECISIONS AND DIVIDEND DECISIONS 2. FINANCIAL MANAGEMENT PROCESS 3.PROFIT MAXIMIZATION AND WEALTH MAXIMIZATION.
CHAPTER 1 Introduction to Corporate Finance 1. Why Study Finance? Marketing Budgets, marketing research, marketing financial products. Accounting Dual.
Introduction to Corporate Finance. Corporate Finance and the Financial Manager.
FINANCIAL MANAGEMENT Variables Affecting System Behavior SYSTEM Leadership Sources.
The Goals and Functions of Financial Management Chapter 1.
THE CORPORATION n Legal entity created to sell goods and/or services. n Owned by shareholders who purchase its stock. n Possible returns to shareholders:
Prof.S.Vasantha. Executive Placement 2003 BIM School of Management Studies – Striving towards Excellence Vels University Meaning of Financial.
1-1 CHAPTER 1 An Overview of Financial Management.
Principles of Managerial Finance 9th Edition Chapter 1 Overview of Managerial Finance.
© 2009 South-Western, a division of Cengage Learning 1 Chapter 9: FINANCE Using Funds To Maximize Value.
FUNDAMENTALS OF CORPORATE FINANCE MGF301 Fall 1998 Vigdis Boasson SUNY at Buffalo
1 What is Finance? Objective To Define Finance The Value of Finance Introduction to the Players.
10/5/20151 A CREATION OF VALUE TO (INVESTORS)SHARE HOLDERS By M.P.NAIDU.
1 Contemporary Corporate Finance, 11th Edition ©2009 South-Western/Cengage By McGuigan, Kretlow, and Moyer Prepared by Rand Martin Bloomsburg University.
Slide 1 Cost of Capital Basic Skills: (Time value of money, Financial Statements) Investments: (Stocks, Bonds, Risk and Return) Corporate Finance: (The.
Overview of Financial Management. OVERVIEW OF FINANCIAL MANAGEMENT The Corporation Life Cycle Value Creation & Maximization Financial Institutions & Process.
Chapter 18 Capital & Capital Market Financial Management  It deals with raising of finance, and using and allocating financial resources of a company.
CDA COLLEGE BUS235: PRINCIPLES OF FINANCIAL ANALYSIS Lecture 1 Lecture 1 Lecturer: Kleanthis Zisimos.
Excel Books FINANCIAL MANAGEMENT, Dr. Sudhindra BhatChapter-1FINANCIAL MANAGEMENT, Dr. RATNESH CHATURVEDI 1 – 1 1 Chapter INTRODUCTION TO FINANCIAL MANAGEMENT.
Corporate Finance ​ ​ Mr. Long Sovang, MFI. 1.1 Introduction to Corporate Finance.
1-0 Corporate Finance 1.1 Some important questions that are answered using finance What long-term investments should the firm take on? Where will we get.
Chapter 1 Introduction to Corporate Finance Corporate Finance and the Financial Manager Forms of Business Organization The Goal of Financial Management.
MNEs need access to capital Finance is integral to firm’s operating strategies Concern with access to capital in local and global markets Finance and Treasury.
Financial Management. Goals of Financial Management Wealth Maximisation Maximisation of Profit- Maximisation of Earning per share- Maximisation of return.
Plan for Today 1.Hand in case 2.Administration & Questions 3.Review of last class 4.Case: Tartempion: The incremental approach 5.Tax shields -- Capital.
Financial Management Chapter 17. Define finance and explain the role of financial managers. Describe the components of a financial plan and the financial.
Proximate Course Objectives
Business Finance (MGT 232)
Financial Management and the Securities Market 12 Chapter © 2004 by Nelson, a division of Thomson Canada Limited.
Meaning of Business Finance Business Finance is that business activity which is concerned with the acquisition and conservation of capital funds in meeting.
Nature of Financial Management
Financial Management (An Introduction). Contents of the Chapter Meaning of Finance Meaning of Financial Management Three Major Decisions of Financial.
Financial Management Chapter 17.
An Overview of Financial Management. An Overview of Financial Management Objectives What is finance Duties of a financial staff person Forms of business.
Financial Analysis. Financial Terms List: Finding Funding You need to consistently find funding: What are some ways of funding? Budget funds from profits.
FINANCIAL MANAGEMENT - ITS MEANING ,SCOPE & objectives.
1-1 CHAPTER 1 An Overview of Financial Management Rashedul Hasan.
Understanding Financial Management
Financial Management Decisions n Investment: What assets to own? n Financing: How to pay for those assets? n Dividend: What to do with Net Income?
1 Chapter 1: What is Finance? Copyright © Prentice Hall Inc Author: Nick Bagley, bdellaSoft, Inc. Objective To Define Finance The Value of Finance.
Financial management is concerned with efficient acquisition and allocation of fund. Financial management is concerned with flow of funds and involves.
INTRODUCTION TO FINANCIAL MANAGEMENT Chapter 1. WHAT IS FINANCE? Finance can be defined as science and art of managing money. KEYWORDS FINANCIAL MANAGEMENT.
Basics of Financial Management. Introduction to Financial Management Financial Management display the movement of funds (money, capital and other financial.
FINANCIAL MANAGEMENT SECOND YEAR. CHAPTER ONE INTRODUCTION.
FINANCIAL MANAGEMENT AN INTRODUCTION.
Managerial ECONOMICS.
Capital Budgeting Unit :II Financial Management.
FINANCIAL MANAGEMENT.
Intro to Financial Management
17 Chapter Financial Management. 17 Chapter Financial Management.
Chapter 1: Long-term Financial Decisions
Chapter 2.
FINANCIAL MANAGEMENT MODULE 1 PART 1. WHAT IS FINANCE ? è I am saving for retirement. Should I use a pension fund, mutual fund, direct stock market investment.
Of Financial Management Traditional View Modern View Objective of Financial Management Scope of Financial Management Relationship of Finance with other.
Chapter 1: What is Finance?
Presentation transcript:

Business Finance

Business Finance Business Finance or Corporate Finance, as it is also known, is the methodology of allocating financial resources with a financial value in an optimal manner, to maximize the wealth of a business enterprise.

Business Finance There are 3 major decisions to be made : Capital budgeting : It is budget for major capital, investment or expenditure. It is the planning to determine whether a firm’s long term investments are worth pursuing. Financing : It is the decision regarding which resources or funds are to be brought into the business, from external investors and creditors, to be invested in profitable projects. Dividend policy : Decisions regarding funds to be distributed or returned to equity investors.

In terms of ‘acquiring resources’, Business Finance is concerned with issues such as:  How will physical assets be acquired/financed?  Should borrowed funds, rather than internal funds be used?  How long does it take to re-collect money from customers? Business Finance

In terms of allocating resources, Business Finance deals with issues such as:  What return must a new operation produce, to make it worthwhile ?  How much must be sold, to break-even and how long will it take to reach that point ?  What is the profitability of each product? Business Finance

Apart from being concerned with acquiring and allocating resources, Business Finance also serves as an information system. Financial statements, budgets and forecasts form a part of Business Finance. These give managers the information they need to make better business decisions. Business Finance

Key Learning Areas  Financial-Statement analysis  Management of working-capital  Budgeting and budgetary-control  Management information and reporting systems

Careers This program is designed for executives working in non-finance areas like: –Marketing –Operations –HRD –IT –Engineering, etc. It has been developed in the context of the increasing strategic focus placed on finance and the need for non- finance executives to get a ‘good feel’ of this vital area.

Careers 1.Corporate Manager 2.Finance Manager 3.Audit Manager 4.Manager - General Accounting 5.Tax Analyst 6.Finance Controller 7.Forensics Department/Consultancy 8.Treasury/Risk Department