BUSSFIN week 2

Question 1

Financial management in the modern business world centers on
maximizing efficiency

Answer 1

acquisition and utilization of financial
resources

Question 2

Financial management looks to maximize?

Answer 2

RETURNS

Question 3

serves as a competitive advantage as it gives you the
financial muscle you need to penetrate new markets and stay ahead
of competitors.

Answer 3

Profitability

Question 4

It uses integrative financial systems and controls that enable to
monitor and regulate the use of funds in business

Answer 4

Financial management

Question 5

a process that enables a business to plan, direct,
organize, monitor and control its current and future
financial resources and events.

Answer 5

Financial management

Question 6

This provides internal stakeholders that is, owners and employees with
reliable information on the performance and profitability of the business.

Answer 6

Disseminating

Question 7

seeks to match the organization’s operational
and investment activities to its overall cash flow capabilities.

Answer 7

The planning process

Question 8

ensures the business engages in profitable long
-term investments.

Answer 8

Financial planning

Question 9

prescribes the appropriate contingency
measures for both operational and strategic risks.

Answer 9

Managing Risks

Question 10

enhance the detection of
fraud and other forms of financial malpractices

Answer 10

Internal and external auditing processes

Question 11

The financial management function exerts internal controls over
financial resources with the objective of ensuring efficient resource
utilization

Answer 11

Exerting Controls

Question 12

gives an incentive for adhering to principles of financial
management.

Answer 12

Setting a goal

Question 13

allows a company to provide a monetary value for items
that make up their inventory.

Answer 13

Inventory valuation

Question 14

something that might be a little bit safer than the stock market is a?

Answer 14

SAVING ACCOUNTS

Question 15

usually the largest
current asset of a business, and proper measurement of them is
necessary to assure accurate financial statements

Answer 15

Inventories

Question 16

Is a comprehensive evaluation of someone’s current and
future financial state by using currently known variables to
predict future cash flows, asset values and withdrawal
plans

Answer 16

Financial plan

Question 17

provide consumers and commercial
clients with a wide range of services and different types of
banking products.

Answer 17

Financial institutions

Question 18

legal agreements that require one party to pay money
or something else of value or to promise to pay under
stipulated conditions to a counterparty in exchange for the
payment of interest, for the acquisition of rights, for
premiums, or for indemnification against risk.

Answer 18

Financial Instrument

Question 19

all-encompassing term that covers the buying and
selling of monetary goods.

Answer 19

Financial Market

Question 20

a type of security that represents the ownership in a
company.

Answer 20

Equities

Question 21

allows a group of people to pool their money together and
have it professionally managed, in keeping with a
predetermined investment objective.

Answer 21

Mutual funds

Question 22

are fixed income instruments which are issued for the
purpose of raising capital.

Answer 22

Bonds

Question 23

Investing in bank or post-office deposits is a very common
way of securing surplus funds. These instruments are at
the low end of the risk-return spectrum.

Answer 23

Deposits

Question 24

These are relatively safe and highly liquid investment
options. Treasury bills and money market funds are cash
equivalents.

Answer 24

Cash equivalents

Question 25

refers to the movement of money in and out of a mutual fund. It is
used to track investor interest in the fund by gauging who is investing
and how much money they are putting into the fund.

Answer 25

flow of funds

Question 26

s a set of accounts that is used to follow the flow of money within
various sectors of an economy.

Answer 26

Flow of Funds within an Organization

Question 27

are the elixir that assists in the formation of new
businesses, and allows businesses to take advantage of
opportunities to grow, employ local workers and in turn
support other businesses and local, state and federal
government through the remittance of income taxes.

Answer 27

Flow of Funds from Enterprise

Question 28

control an organization’s assets, including its
investments and cash, to maximize their efficient use AND A person who takes care of all the important financial functions of an
organization.

Answer 28

Financial managers

Question 29

Roles of Financial Manager?

Answer 29

Raising of Funds
Allocation of Funds
Profit Planning
Understanding Capital Markets