Sep

Definition of Financial Management

A. Understanding Financial Management

Financial management is an activity of planning, budgeting, inspection, management, control, search and storage of funds owned by the organization or company.

Brief Explanation of Individual Financial Management Function:
1. Financial Planning
Making plans and outcome revenues and other activities for a certain period.

2. Financial Budgeting
Follow-up of financial planning with a detailed expenditure and income.

3. Financial Management
Using corporate funds to maximize the funds available with a variety of ways.

4. Search Finance
Finding and exploiting existing funding sources for operational activities of the company.

5. Depository Financial
Companies to raise funds and keep the funds safely.

6. Financial Control
Evaluating and improving the financial and the financial system in corporate.

7. Audit
Internal audit of the existing corporate finance in order to avoid irregularities.

B. Financial Management System

Basic tasks are performed by a financial manager in general are:
1. Getting Companies Fund
2. Using Company Funds
3. Dividing Keuntugan / Profit Companies

C. Financial Management Goals

The purpose with the finance manager for the company mengeloka funds at a company in general is to maximize corporate value. Thus, if a company sold it when the price can be set as high as possible.