Scribd
Upload
4 views38 pages

Introduction To Financial Management W1

The document serves as an introduction to financial management, outlining its significance and the roles of financial managers. It includes pre-tests, activities, and definitions related to business finance, budgeting, investment, and sources of funds. Additionally, it emphasizes the importance of understanding financial concepts for effective management and decision-making in business.

Uploaded by

Monton
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
4 views38 pages

Introduction To Financial Management W1

The document serves as an introduction to financial management, outlining its significance and the roles of financial managers. It includes pre-tests, activities, and definitions related to business finance, budgeting, investment, and sources of funds. Additionally, it emphasizes the importance of understanding financial concepts for effective management and decision-making in business.

Uploaded by

Monton
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
You are on page 1/ 38

INTRODUCTION TO

FINANCIAL
MANAGEMENT

Business Finance
AT THE END OF
THE LESSON, The learners shall be able to
THE LEARNERS explain the major role of
SHOULD BE financial management and
ABLE TO: the different individuals
involved. financial market.
Before starting with the lesson, let us
see what you already know about
Business Finance.
PRE - TEST
Answer the questions in the
activity sheet. Write your answers
in your notebook.
I N S T RU C T I O N : R E A D T H E S TAT E M E N T S C A R E F U L LY T H E N W R I T E
T RU E I F T H E S TAT E M E N T I S C O R R EC T & W R I T E FA L S E I F YO U
T H I N K T H E A N S W E R I S I N C O R R EC T.

1. One way to make money in the stock market is to buy high and sell
low.
2. Stocks is a long-term debt instruments used by both government and
business are known as
3. Insider Trading involves the sale of stock to employees at discounted
prices.
4. A newspaper Publication is not a financial institution.
5. Financial managers evaluating decision alternatives or potential
actions must consider, both return and risk.
I N S T RU C T I O N : R E A D T H E S TAT E M E N T S C A R E F U L LY T H E N W R I T E
T RU E I F T H E S TAT E M E N T I S C O R R EC T & W R I T E FA L S E I F YO U
T H I N K T H E A N S W E R I S I N C O R R EC T.

6. The wealth of the owners of a corporation is represented by


cashflow.
7. Corporate owner's receive realizable return through earnings per
share and cash dividends.
8. The primary goal of the financial manager is maximizing profit.
9. The major securities traded in the capital markets are stocks and
bonds.
10. The capital market is created by a financial relationship between
suppliers and users of short-term funds.
• A. How much is your daily allowance? If not
given daily, how much is your average
allowance per day?
• B. Write down all the items you spend money
on. List the description and peso amount spent.
ACTIVITY 1
• C. Compute for the balance of your allowance by
deducting the expenses you listed from your
daily allowance.
• D. If the answer to Question C is positive, what
do you do with the money left? If the answer is
negative, where do you get additional money?
BUSINESS
FINANCE
WHAT IS
FINANCE ?

Is the process of raising


funds or capital for any kind
of expenditure. It is the
process of channeling
various funds in the form of
credit, loans, or invested
capital to those economic
entities that most need
Is a process of looking at a
business' estimated incomes
(the money that comes into
the business from selling
BUDGETING products and services) and
expenditures (the money that
goes out form paying expenses
and bills) over a specific period
in the future.
Is an asset acquired or
invested in to build wealth and
save money from the hard
earned income or
appreciation. The act of
distributing resources into INVESTMENT
something to generate income
or gain profits.
Refers to the funds that are being
used to fund the specific transaction
in hand. The origin of the funds used
SOURCE OF for the transactions or activities that
FUNDS occur within the business relationship
or occasional transaction.
Also known as equity, is a
security that represents the
ownership of a fraction of the STOCKS
issuing corporation. Units of
stock are called "shares“.
ROLE OF
FINANCIAL
MANAGEMENT
FINANCIAL
MANAGERS

Generally, they oversee the


financial health of an
organization and help ensure
its continued viability. They
supervise important functions,
such as monitoring cash flow,
determining profitability,
managing expenses and
3 ROLES OF
FINANCIAL
MANAGERS
Is the practice of handling a
company's finances in a way
FINANCIAL that allows it to be successful
MANAGEMENT and compliant with
regulations. That takes both
a high-level plan and boots-
on-the-ground execution.
INTRODUCTION TO
FINANCIAL
MANAGEMENT

Business Finance
Assume a learner bought 10
shares of Globe Telecom at
PHP2,510 each on September 9,
2010.This brings his investments
to PHP25,100. What happens to MEASUREMENT
the value of his investment if the OF THE
price goes up to PHP2,600 per SHAREHOLDER’S
WEALTH
share or it goes down to PHP2,300
per share?
FCINANE
• Is the process of raising funds or capital for any
kind of expenditure.

ANSWER: FINANCE
NENIETTVMS
• Is an asset acquired or invested in to build wealth and save
money from the hard earned income or appreciation

ANSWER: INVESTMENT
UDNBIEGGT
• Is a process of looking at a business' estimated
and expenditures

ANSWER: BUDGETING
KCOSST
• Also known as equity, is a security that represents the
ownership of a fraction of the issuing corporation

ANSWER: STOCKS
FACTORS THAT
INFLUENCE
MARKET PRICE
CORPORATE
ORGANIZATION
STRUCTURE
Is any person, company, or institution that
owns shares in a company's stock, A
company shareholder can hold as little as
SHAREHOLDERS
one share. Shareholders are subject to
capital gains (or losses) and/or dividend
payments as residual claimants on a firm's
profits. The overall objective of a
shareholder should be wealth
maximization.
Is the governing body of a company,
BOARD OF elected by shareholders in the case of
DIRECTORS public companies to set strategy and
oversee management. The board typically
meets at regular intervals.
PRESIDENT
Is the highest-ranking executive and
(CHIEF
head decision-maker in a company. The
EXECUTIVE
president is a top-level executive. OFFICER)
Is a marketing expert who takes
responsibility for overall marketing results
VP FOR of a company. Vice President (VP) of
MARKETING Marketing oversees marketing strategies
and efforts in order to strengthen
company's market position and achieve
desired business goals.
Oversees and coordinates the different
departments and creates and
distributes all goods produced by the
VP FOR
firm. The person holding this position
PRODUCTION
should make sure that the business
implements the most efficient and cost-
effective strategies for manufacturing.
Is in charge of overseeing the
VP FOR administration division of a company. This
ADMINISTRATIO official is in charge of mentoring staff,
N overseeing projects, as well as preparing
monetary budgets for the division.
GENERALIZATION

“Why is the study of


finance important to you?”
LONG QUIZ

Let us check what you have


learned. Answer the
questions in the long quiz
activity sheet.
PERFORMANCE TASK

Let us check what you have learned. Answer


the questions in the long quiz activity sheet.

Research Me !
Go to a business in your locality. Ask who
is in charge of the finances of the
business. Interview the “Chief Financial
Officer (“CFO”) or the Vice-President for
Finance” and ask them to report about
their roles and functions within the

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy