The modern approach to Financial management view :
(a) the total funds requirement of the firm
(b) the assets to be acquired
(c) the pattern of financing the assets.
(d) All of the above
Answers
Answer:
option b) is the correct answer.
MODERN APPROACH TO FINANCIAL MANAGEMENT
The modern approach to financial management view includes all of the following namely, the total funds requirement of the firm, the assets to be acquired and the pattern of financing the assets.
THE ANSWER IS ALL OF THE ABOVE
GETTING TO KNOW MORE ABOUT THE MODERN APPROACH TO FINANCIAL MANAGEMENT:
* Investment in fixed assets necessitates a corresponding investment in working capital, such as inventories, receivables, cash, and so on. Internal investment is referred to as 'internal investment,' whereas purchase of entities is referred to as 'external investment.'
* Financing choices are concerned with obtaining the best possible financing to accomplish financial goals and ensuring that working capital is properly handled. Financing decisions need a thorough understanding of the costs of generating capital, risk-hedging techniques, various financial instruments and the liabilities that come with them, and so on.
* Investment, finance, and dividend choices are all intertwined, thus the Finance manager should analyze the implications from all three perspectives concurrently while making a decision.