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In the business world this would mean monitoring expected inflows and outflows of fund while observing their effect on the managerial objectives.
Procurement of funds and an effective use of funds to achieve business objectives are two main aspects of financial management. Although, funds obtained from different sources have different characteristics in terms of potential risk, cost and control, financial management constitutes them. Therefore, in order for an appropriate balancing of risk and control, the cost of funds should be at minimum. In addition, to reduce these risks and costs, it is crucial to utilize the funds effectively and profitably which is also an important aspect of financial management as it avoids the situations where the funds are kept idle...
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Common topics in this essay:
- Lester Electronics Wealth Maximization
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