BUSINESS ADMINISTRATION
FINANCIAL MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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concerned with meeting current debts of the business
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concerned with growing the business
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concerned with increasing capital investment
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concerned with meeting shareholder expectations
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Detailed explanation-1: -Some examples of long-term financial goals may include: Saving for a down payment on a house. Funding your retirement. Paying off large debts (e.g., credit cards, student loans, mortgage, etc.)
Detailed explanation-2: -Long-term objectives usually include specific improvements in the organization’s competitive position, technology leadership, profitability, return on investment, employee relations and productivity, and corporate image.
Detailed explanation-3: -Long-term financial planning involves projecting revenues, expenses, and key factors that have a financial impact on the organization. Understanding long-term trends and potential risk factors that may impact overall financial sustainability allows the finance officer to proactively address these issues.
Detailed explanation-4: -Financial objectives typically focus on increasing a business’s profits or sales, but they may also focus on investments and economic stability. Financial objectives are often measurable goals that businesses can track and reach. These objectives typically focus on long-term success.