Tag: financing

Questions Related to financing

____________ means pre-estimating financial needs of an organization to ensure availability of adequate finance.

  1. Financial planning

  2. Material planning

  3. Value chain planning

  4. Capital structure decision


Correct Option: A
Explanation:

Financial Planning is the process of estimating the capital required and determining it’s competition. It is the process of framing financial policies in relation to procurement, investment and administration of funds of an enterprise.

Financial planning is the task of determining how a business will afford to achieve its strategic goals and objectives.

The working capital term loan representing excess borrowings

  1. Should be gradually reduced

  2. Should be allowed to go up

  3. Should not be allowed to go up

  4. Both (a) and (c)


Correct Option: D