Management > General Management > Functions of Management > Planning – Primary Function of Management Planning is the primary function of management. It is the methodology by which certain objectives are identified and strategies are devised for its subsequent realization. It is a preparatory step. It is a systematic activity which determines what, why, how, when, […]
Management > Managerial Statistics > Introduction to Statistics What is a Statistic? Statistics has been defined differently by different authors and each author has assigned new limits to the field which should be included in the scope of statistics Seligman, defines “It is a science which deals with the method of collecting, classifying, presenting, comparing and […]
The balance of payments (BoP) is an account statement which holds the summation of all international transactions a country has had with other nations. It gives an idea about the country’s performance in trade, in attracting foreign capital and the impact on the foreign exchange reserve of a country. It also tells us whether the country saves enough […]
Trade interconnectedness: The number of systemically important trading nations increased over time, their trade links have also multiplied. It is due to the increase in supply chain system facilitated by lower tariffs and a decline in transportation and communication costs. The increase in international trade is due to liberalization and specialization. The multilateral and bilateral liberalization has led to […]
Trade has not only influenced the monetary and financing system of a country but even alliances among nations. No nation can form its monetary policies independent of other nations. International finance is the branch of economics that broadly studies the monetary and macroeconomic relationship between nations. It studies capital flows among the nations, exchange rate fluctuations […]
Objectives of Accounting: To maintain full, systematic and permanent records of business transactions: Accounting is the language of business transactions. Accounting is done to keep a systematic record of financial transactions. The main objective of accounting is to maintain ‘a full and systematic record of all business transactions for current and future references It saves […]
Accounting: Accounting is an interpretation, in terms of monetary units, of an activity like a business and the financial results of that activity during a period. As per American Institute of Certified Public Accountants (AICPA) “Accounting is the art of recording, classifying and summarizing in a significant manner and in terms of money transactions and […]
Management > Financial Management > Functions of Financial Manager: Financial Decisions The Financing Decision is a crucial decision made by the financial manager relating to the financing-mix of an organization. Financial decisions are concerned with the borrowing and allocation of funds required for investment decisions. These decisions are essential to the continuity of the business over the long […]
Management > Financial Management > Profit and Wealth Maximization Financial management is concerned with procurement and use of funds. The main objective of Financial management is to ensure the maximization of the economic welfare of its shareholders. The maximization of economic welfare means maximization of wealth of its shareholders. Shareholder’s wealth maximization is reflected in […]
Management > Financial Management > Introduction The planning, directing, monitoring, organizing, and controlling of the monetary resources of an organization is called financial management. It is the art and science of managing money It is concerned with procurement and effective utilization of funds for the benefit of its shareholders. It utilizes all those managerial activities […]