Meaning, Definition, Objectives of Financial Management

 

9.1💰 Meaning, Definition, Objectives of Financial  Management

Hey welcome new series of business studies chapter-9 Financial management In this video we will be learning What Is Financial Management, Objectives of Financial Management Before hear intending of fiscal management Let us first learn about Business finance Business finance: Money required for carrying out business pleasures is called business finance. Finance is required for everything like to establish a business, to run it, to modernize it, or like expand or diversify it. In epoch to date pleasures So, then what is FM FINANCIAL MANAGEMENT: We all know about management That's what we learn from first periods Then what is fiscal management fiscal management is an efficient procurement of finance, Or efficient utilization of finance and efficiently distributing and likewise disposal of surplus for smooth labor. If we move on to Definition According to Howard and Upton," Financial management involves the application of general administration principles to a particular fiscal busines. Next moving on to Objectives of Financial Management: Definitely No dough We have more points then We have recently been ... But here We're fetches most common objectives ok starting with firstly one 1. Wealth Maximization: The main objective of Financial management is to maximize opulence of firm, and their shareholder's prosperity, for that achieving optimum asset structure and proper utilization of funds is a must. Next 2. To procure or to get sufficient funds for the organization: Sufficient or proper, regular ply of monies is to be maintained for smooth operations of the business. That means you need stores Next 3. To ensure effective utilization of stores. Getting money is not critical thing utilizing it is in a correct way is important thing Next 4. To ensure safety of funds: The chances of risk in assets is advisable to minimum possible. In countless luck of losing money is more Because of jeopardy took part in the investment So safty is one of the priority Next 5. To achieve optimum capital organization: asset formation is nothing but proper balance between equity shares debentures A good and saving combination of shares and debentures must be balance so that it helps to maintain optimum capital structure. I thing that's it for this video if you like hit like and share with your friend thank you tuning in told you in the next succession bye

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