HSC Business Studies Finance

Summary:

This HSC Business Studies Finance note offers an exceptional resource for students aiming to excel in the subject. The author, who achieved an impressive ATAR of 93.85 and secured the top rank within their course, demonstrates a profound understanding of Finance concepts and techniques. With a comprehensive coverage spanning 23 pages, these notes delve into the entirety of the Finance topic, ensuring that all key areas are explored in detail.

The notes balance theory and practicality by incorporating relevant examples and diagrams. This approach facilitates comprehension and enables students to apply Finance principles to real-world scenarios effectively. Covering essential topics such as financial planning, budgeting, investment strategies, and financial analysis, these notes provide a comprehensive overview of the Finance discipline.

Excerpt:

HSC Business Studies Finance

Role of Financial Management

Financial Planning reflects the strategic goals of the business, which are the key objectives (PLEGS)

Influences on financial management

There are a range of internal and external influences that will impact the strategies that financial managers use to achieve business goals such as profitability and market growth (influences shape strategies)

Processes of financial management
Good financial management is absolutely crucial to the smooth running of a business. Many issues can arise when a business does not properly manage its finances.

The business must plan a clear system where your outflows (costs) have to match inflows (revenue) to avoid problems in the short and long term.

Processes of financial management
Effective financial strategies are vital for businesses to address issues relating to cash flow management, working capital management, profitability management, and global financial management. It is also vital for the longevity of the business to manage these strategies in relation to internal and external influences. Role of Financial Management:
● Strategic role of financial management
● Financial management is the planning and monitoring of a business’s financial resources to enable the business to achieve its financial objectives
● The strategic plan ensures that the business operates with a return on investment and continues to grow and meet objectives in the long term
● Strategic goals are long-term, and broad and affect all key business functions