MANAGEMENT

BUISENESS MANAGEMENT

FINANCIAL MANAGEMENT

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
____ is the area of finance concerned with activities such as borrowing funds to finance projects such as plant expansions or new product launches.
A
Working capital management
B
International finance
C
Investments
D
Corporate finance
Explanation: 

Detailed explanation-1: -In addition to capital investments, corporate finance is concerned with monitoring cash flows, accounting, preparing financial statements, and taxation. Therefore, the day-to-day operation and activities related to dividends, interest payment, and borrowed funds-related transactions is under corporate finance.

Detailed explanation-2: -Project finance is the funding (financing) of long-term infrastructure, industrial projects, and public services using a non-recourse or limited recourse financial structure. The debt and equity used to finance the project are paid back from the cash flow generated by the project.

Detailed explanation-3: -Finance analyzes how a third party (an individual, a company or a government) makes an economic decision, in a specific context. It includes activities related to banking, capital markets, investments and debt.

Detailed explanation-4: -Corporate Finance is the set of activities generally concerned with the buying and selling of financial assets such as stocks and bonds.

Detailed explanation-5: -What Are the 3 Main Areas of Corporate Finance? The main areas of corporate finance are capital budgeting (e.g., for investing in company projects), capital financing (deciding how to fund projects/operations), and working capital management (managing assets and liabilities to operate efficiently).

There is 1 question to complete.