Define financial management and describe how financial managers fulfill their responsibilities.

In an effort to remain competitive, the company that Cindy Li works for needs to launch a new device to quickly match the competitor’s latest gadget. As chief financial officer, Cindy was asked to assess the company’s financial ability to pull this off. What kind of financial information does she need to pull together? What are her company’s options for financing such a project?

Describe the options small businesses have to finance short-term business needs.

Ginny McIntyre runs a small clothing tailoring business out of her home. She is so overwhelmed with business that she does not have enough space for her orders and equipment. She wants to expand her business into a small shop, but she does not have enough money. Where can Ginny find financing for her business?

Describe the options big businesses have to finance short- and long-term needs, and explain the pros and cons of debt and equity financing.

Joseph Cortez is planning large growth for his company. He needs capital and outside investors for funds. Should he use stocks or bonds? What factors are involved when making the decision?

Describe the different types of accounting, the accounting standards, and the importance of the fundamental accounting equation.

Arnold Sawyer always thought he was good with figures, and for years he was able to help his niece manage the books for her catering business. Then, after an appearance on a local newscast, his niece’s catering sales went through the roof. Can the company mobilize quickly enough to fill the requests? Where is the money going to come from?

Describe the function of balance sheets, income statements, and statement of cash flows.

Mateo Morales has just received a huge bonus check. After a great deal of excited contemplation about what “big-ticket item” he could purchase, Mateo has reined in his enthusiasm and decided a more prudent action would be best. He will invest the money. So, now he is trying to decide between two companies. Where should he begin? What numbers should he look at, and how should he make sense of them.