project report on working capital management in HAL
#1

[attachment=9216]
INTRODUCTION
Finance:

Finance is one of the major element, which activates the overall growth of the economy. Finance is the life blood of economic activity. A well-knit finance system directly contributes to the growth of the economy. An efficient financial system calls for the effective performance of financial instruments and financial market.
Definition:
Wheeler defines “Business finance is that finance which is concerned with the acquisition and conservation of capital funds in meeting the financial needs and overall objectives of a business enterprise.”
Importance of finance
 To purchase fixed assets such as land; building, machinery, furniture etc.
 To pay for purchase of raw material, wages etc.
 To replace existing assets or acquired new assets.
 To expand the existing business.
 To hold stock of material and finished goods.
Financial management
Financial management deals with planning and control of financial operations to corporate enterprise. Also deals with the procurement pf funds and their effective utilization.
Financial management in the minds of executives:
“Financial Management is a subject which deals with the tools and techniques through which a company’s balance sheet is constructed. It offers to the executives in building item in liabilities and assets side of a balance sheet. It clearly guides the financial manager to select long term as well as short term funds and its allocation to capital and revenue expenditure hence ultimately it is used as a communication tool to convince the investors about the performance of a corporate entity.
Definition
According to HOWARD & OPTION “ Financial Management may be defined as that area or set of administrative functions in an organization which, relates arrangement of cash and credit so that the organization may have the means to carry out its objective as satisfactorily as possible”.
OBJECTIVE OF FINANCIAL MANAGEMENT:
Financial management evaluates how funds are used. In all cases, it involves a sounds judgment. With logical approach of decision-making. The core of financial policy is to “maximize earnings in the long run and optimize them in short run” this calla or an evaluation of alternative of funds are allocation for business functions.
Specific objective
Profit maximization:
Earning profit by a corporate or a company is a social obligation. Profit is only means through which an efficiency of organization can be measured. As the business units are exploiting the resources of the country namely, land, labour, capital and resources has an obligation to make use of these resources to achieve profits. It is an economic obligation to cover the cost of funds and offer surplus funds to expansion and growth.
Wealth Maximization:
The concept of ‘wealth Maximization’ refers to the gradual growth of the value of the assets of the firm in terms of benefits it can products. Any financial action can be judged in terms of the benefits it produces less cost of action. The wealth maximization attained by a company is reflected in the market value of share. In other words, it is nothing but the process of creating wealth of an organization. This maximizes the wealth of shareholder.
Reply

Important Note..!

If you are not satisfied with above reply ,..Please

ASK HERE

So that we will collect data for you and will made reply to the request....OR try below "QUICK REPLY" box to add a reply to this page
Popular Searches: working capital policy, working capital management project on a manufacturing company, questionaier on working capital management, working capital management project report images pdf, working capital management ppt india, working capital related questionnaire, management of working capital,

[-]
Quick Reply
Message
Type your reply to this message here.

Image Verification
Please enter the text contained within the image into the text box below it. This process is used to prevent automated spam bots.
Image Verification
(case insensitive)

Possibly Related Threads...
Thread Author Replies Views Last Post
  marketing management full report seminar topics 3 13,583 21-08-2013, 10:14 AM
Last Post: computer topic
  The Resource Allocation syndrome: the prime challenge of multi-project management seminar class 0 1,690 14-04-2011, 10:52 AM
Last Post: seminar class
  Capital Budgeting seminar class 0 2,350 09-04-2011, 10:04 AM
Last Post: seminar class
  Emotional” Project Management seminar class 0 1,331 17-02-2011, 10:34 AM
Last Post: seminar class
  TPM:Total Productive Management full report seminar topics 0 4,073 22-03-2010, 07:54 PM
Last Post: seminar topics

Forum Jump: