Financial Management Question Bank
Q. What is financial management?
Q. What is the role of financial management?
Q. What are the main financial decisions taken by the financial manager?
Q. What are the objectives of financial management?
Q. What is financial planning?
Q. Write the main aspects of financial planning.
Q. Write the main objectives of financial planning.
Q. Explain the factors to be considered for financial planning.
Q. Classify types of financial plans on the basis of time period.
Q. What are the steps in the process of financial planning?
Q. What is the importance of financial planning?
Q. Define : capital structure, financial leverage, capital gearing, trading on equity.
Q. Illustrate the working of trading on equity.
Q. What are the main implications of financial leverage?
Q. What are the main conditions of working of capital gearing or trading on equity?
Q. What are the main factors affecting capital structure?
Q. What is fixed capital?
Q. What is capital budgeting decision?
Q. Give the importance of capital budgeting decision.
Q. What is working capital?
Q. What are the concepts of gross working capital and net working capital?
Q. Define the terms: current assets and current liabilities.
Q. What is working capital decision?
Q. Write the importance of working capital decision.
Q. What are the factors affecting the requirement of working capital by a business enterprise?
Q. What is financing decision?
Q. Define the terms; shareholders’ funds, borrowed funds, financial risks.
Q. What precautions must be taken while taking financing decisions?
Q. What is floatation cost?
Q. What are the factors affecting financing decisions?
Q. What is dividend?
Q. What is dividend decision?
Q. What are the factors affecting dividend decision?
Q. What is Debt Equity ratio?
Q. Why is debt considered cheaper but risky?
Q. Define optimal capital structure.
Q. What is the difference between fixed assets and current assets?
Q. What are the sources of fixed capital?