FINANCIAL MANAGEMENT INTRODUCTION Ø The term financial management can be defined as the management of flow of funds and it deals with the financial decision making. Ø The objective of maximization of shareholders wealth has been taken as the primary goal of financial decision making and maximization of profit is the second main objective of financial management. Ø A firm wishes to maximize the profits may opt to pay no dividend and to reinvest the retained earnings whereas a firm that wishes to maximize the shareholders wealth may pay regular dividend. Ø Capital budgeting related to fixed assets Ø Working capital management related to current assets. Ø The dividend decisions is almost regular decision in the sense that it is taken whenever the firm wants to distribute interim dividend, final dividend or bonus to s...