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What are the objectives of financial management?

What are the objectives of financial management?

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Question ajoutée par Mohammed El Tahir Mohammed Yousif , Finance Manager , Factory of Golden Block Company for Cement Products
Date de publication: 2017/09/05
Mohammed El Tahir Mohammed Yousif
par Mohammed El Tahir Mohammed Yousif , Finance Manager , Factory of Golden Block Company for Cement Products

The financial management is generally concerned with procurement, allocation and control of financial resources of a concern. The objectives can be-

 

1-To ensure regular and adequate supply of funds to the concern.

2-To ensure adequate returns to the shareholders which will depend upon the earning capacity, market price of the share, expectations of the shareholders.

3-To ensure optimum funds utilization. Once the funds are procured, they should be utilized in maximum possible way at least cost.

4-To ensure safety on investment, i.e, funds should be invested in safe ventures so that adequate rate of return can be achieved.

5-To plan a sound capital structure-There should be sound and fair composition of capital so that a balance is maintained between debt and equity capital.

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