Studypool Homework Help - Fundamental Decisions in A Finance Team Questions (2024)

FAQs

What are three fundamental decisions that are of concern to the finance team? ›

Capital budgeting, financing and working capital management are the three important decisions made by the financial management team. Decision about investing in an asset/project is crucial for any business. Capital budgeting decision will have direct impact on the balance sheets asset side.

What are the three basic questions addressed by the study of finance? What long-term investments should the firm undertake? How should the firm raise money to fund these decisions? How can the firm best manage its cash flows as they arise in its day-to-day operations?

Financial managers are concerned with three fundamental types of decisions: capital budget- ing decisions, financing decisions, and working capital management decisions. Each type of decision has a direct and important effect on the firm's balance sheet and, ultimately, the success or failure of the firm.

Three fundamental decisions financial management is concerned with are Capital budgeting decision, Working capital management, Financing decision. Capital budgeting impacts the assets…

The three main types of financial statements are the balance sheet, the income statement, and the cash flow statement. These three statements together show the assets and liabilities of a business, its revenues, and costs, as well as its cash flows from operating, investing, and financing activities.

Financial managers create financial reports, direct investment activities, and develop plans for the long-term financial goals of their organization.

Financial choices revolve around three primary decisions: spending, saving, and sharing.

The three most important financial controls are: (1) the balance sheet, (2) the income statement (sometimes called a profit and loss statement), and (3) the cash flow statement. Each gives the manager a different perspective on and insight into how well the business is operating toward its goals.