What do you signify by organisation of finance function, Financial Management

Assignment Help:

Q. What do you signify by Organisation of Finance Function? Describe the functions of Financial Manager.

Ans. Organisation of Finance Function: - Organization of finance function signifies the division of functions relating to finance and to set up a sound and efficient organization for performing the finance functions. Since the financial decisions are extremely crucial for the survival as well as growth and development of the firm. The eventual responsibility of carrying out the finance function lies with the top management. Therefore a department to organize and carry out the financial activities is created under the direct control of the board of directors.

This department is lead by a financial manager.

Nevertheless the exact nature of the organization of the finance functions differs from firm to firm depending upon many factors such as:

(i) Size of the Firm

(ii) Nature of its Business

(iii) Kind of financing operations

(iv) Capabilities of firm are financial officers etc.


Related Discussions:- What do you signify by organisation of finance function

Perfectly competitive market, What level of profits can you earn in a perfe...

What level of profits can you earn in a perfectly competitive market and what drives markets towards perfect competition over the long run?

Briefly define liquidity risk faced by a bank, Question: You have just ...

Question: You have just been appointed the secretary of the ALM Committee (ALCO) of ABN Bank. The ALCO members have some queries relating to the liquidity risk faced by the ban

Theoretical spot rates, The theoretical spot rates for treasury secur...

The theoretical spot rates for treasury securities represent the appropriate set of interest rates that should be used to value the risk from default-free cash fl

Define the term in brief -called-up share capital, Define the term in brief...

Define the term in brief -Called-up share capital Called-up share capital that you may find in some of balance sheets. It refers to that part of subscribed capital, which share

Cost of preference equity-irr , 1.  Find out the present value of Rs. 10,00...

1.  Find out the present value of Rs. 10,000 to be required after 4 years if the interest rate is 6%. 2.  A Firm can invest Rs. 10,000 in a project with a life of three years.

Define trustworthy collateral from the lenders perspective, What is trustwo...

What is trustworthy collateral from the lenders' perspective?  Explain whether accounts receivable and inventory are trustworthy collateral. Assets which are readily marketable

Risk-free interest rate, Price an Asian call option with on a stock with th...

Price an Asian call option with on a stock with the initial stock price $50 and volatility 30$. The strike price of the option is $52. The time to maturity of the option is 3 month

Factors considered in assigning a credit rating, Credit rating agenci...

Credit rating agencies carry out credit rating. Companies appoint these agencies to assign credit rating for their corporate issues. The rating agencies may condu

Define risk adjusted discount rate enhance capital budgeting, Explain how u...

Explain how using a risk-adjusted discount rate enhances capital budgeting decision making compared to by using a single discount rate for all projects? The risk-adjusted disco

Calculate actual returns using the dividend discount model, You've just won...

You've just won a huge $100 million lottery.  You've decided to invest your winnings in the following way:  $30 million in real estate,  $30 million in  corporate bonds and $40 mil

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd