Module 1: Introduction to Financial Management Flashcards
1
Q
The system or study of
creating, circulating, and
managing money.
A
Finance
2
Q
Primary Goals
of Finance
A
- Earn/Maximize Profit
- Increase Firm Value
- Improve quality of living
3
Q
- Inputs and Outputs
- Work is to be done in
a correct manner.
A
EFFICIENCY
4
Q
- Doing accurate work
A
EFFECTIVENESS
5
Q
- GOVERNMENT
INSTITUTIONS - STATE GOVERNMENTS
- LOCAL SELF
GOVERNMENTS - CENTRAL
GOVERNMENTS
A
PUBLIC FINANCE
6
Q
- PERSONAL FINANCE
- BUSINESS FINANCE
- FINANCE OF NON PROFIT
ORGANISATIONS
A
PRIVATE FINANCE
7
Q
The ______ decides as
to where to get
financial resources
needed by the firm
in its operation
A
Financial Manager
8
Q
- Households
- Individuals
- Companies/Corporations
- Government Agencies
A
SAVERS
9
Q
- Banks
- Insurance Companies
- Stock Exchanges
- Brokerage Firms
- Mutual Funds
- Other Financial Institutions
A
Financial Intermediaries
10
Q
- Households
- Individuals
- Companies/Corporations
- Government Agencies
A
Users
11
Q
Financial Intermediaries
A
- Commercial Banks
- Nonbank Financial Institutions
- Insurance Companies
12
Q
Financial Instruments
A
Equity Securities
* Ordinary Shares
* Preferred Shares
Debt Securities
* Commercial Bonds
* Commercial Papers
* Treasury Bills
* Treasury Notes
* Retail Treasury Bonds
13
Q
Financial Markets
A
- Primary and Secondary Market
- Money and Capital Market
14
Q
Functions of VP for Finance
A
- Investing
- Financing
- Operating
