...Financial Management Challenges David Meszler BUS 650 Managerial Finance Prof. Kevin Kuznia July 29, 2013 To understand the challenges that face a financial manager today it is important to understand the general characteristics of market structures and the impact of market liquidity, competitiveness, and efficiency on financial managers. Clarifying market structures will show the basic constructs that financial managers work under. With the basic understanding of market structures and how they influence financial managers or how financial managers influence their given market structures we will identify two problems that are faced in current markets chosen from two Proquest articles, the first problem discussed will be communication issues and we will follow that up with a larger issue, the global economic recession. In discussing these issues we will also hit on how managers can possibly address those issues according to those articles. Market structures are fundamental in understanding how the economy works and how goods and/or services are exchanged. There are four basic market structures; perfect competition, monopolistic competition, oligopoly, and monopoly. Perfect competition is when there are numerous sellers with no difference in the product, no cost to enter or exit the market, and there is no influence on price. The most common type of market structure is a monopolistic competition market. In this type of market there are numerous sellers with little...
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...Basic Concepts Kathy D. Hardy ECO/415 December 8, 2011 Dr. Robert Mupier In this paper the subject to discuss is the supply and demand from the simulation located on the University of Phoenix Student Website. There are several questions that will be answered and discussed such as how the changes in the business environment cause changes in supply and demand, why marginal analysis is important when making business decision, fixed and variable costs, and economic difficulties operating companies face. The subject of this paper will also give examples to these questions as they relate to the simulation to complete the knowledge of basic concepts in applied economics. Basic Concepts The supply and demand concept located in the simulation is key dynamics and basic concepts in applied economics. The main objective of this simulation is for Good Life Management to keep the equilibrium point in the two-bedroom rental apartment market in the city of Atlantis. Customer likes and preference, cost, and the level of the residents have the effect on the demand. The numbers of apartments, the quantity of apartments available and the quantity of apartments rented have the effect on the supply. Additionally, a variety of concerns should be taken into consideration such as the shift in supply and demand, and the process the shift in supply and demand has on the business environment. Furthermore, Management should think about the significance of the marginal...
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...Unit 5 Elements in Business Jean Juisto AIU Online Abstract The basic concepts of management and some problems faced in operating a business enterprise. Here are basic concepts in management and some factors that must be addressed whenever problems arise. Basic legal environment include relevant laws and regulations that relate to a business. These laws are governed by state, country, and international authorities. A few basic legal principles to everyday business issues include the minimum wage, and child labor laws. Equal opportunity is a big issue along with overtime. Social environment refers to the cultural environment developed by mankind. Social environments are the immediate physical and social settings in which we live and work. Issues involving social environments are living and working conditions, income levels and educational backgrounds. Economic environment is how the environment can impact the economy. External factors that could affect the economic environment include inflation, interest rates and unemployment. Inflation had a negative effect on the economic environment due to consumer spending. Global warming and ozone layer also affect the economic environment. The management structure for my small business is quite easy to explain. I am the owner of this business; there are no other employees so I am the boss. I make all decisions with...
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...running any business operation fluidly. In business, accounting is used to make critical decisions. It is the numbers. It is always about the numbers, and good, strong accounting skills are needed to understand and interpret these numbers. The purpose of this paper is to define the purpose of accounting, identify the four basic financial statements, and explain how they are interrelated and whom they are useful to. Accounting “Accounting is an information system that identifies, records, and communicates the economic events of an organization to interested users” (Weygandt, Kimmel, & Kieso, 2008, p. 4). Economic events are accounting transactions that a company identifies and records to communicate this information to interested parties. For example, Apple computers first identifies that a computer sale is an economic event relevant to its company. An example of an economic event to Apple computers is selling an Apple iPod. When this transaction takes place, it is recorded in a systematic manner to create a chronological diary of events (Weygandt, Kimmel, & Kieso, 2008, p. 21). Four Financial Statements There are four different and interrelated basic financial statements that companies prepare from summarized accounting data. The first statement is the income statement. The income statement presents the net income (when revenues exceed expenses) or net loss (when expenses exceed revenues) of a company based on the revenues and expenses for a specific period. The next...
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...Retained earnings statement, Balance sheet, and Statement of cash flows to help the company provide relevant financial data for internal and external users. According to Weygandt (2008), Accounting consist of three basis activities and it is an information system that identifies, records, and communicates the economic events of an organization to interested users. Accounting has two primary qualities that make its information useful for decision making and they are relevance and reliability. The primary purpose of accounting is to provide a financial report showing its performance during a specific time period usually for a year. These reports are made available for its user’s which are creditors, stockholders, and tax authorities. Accounting is also the financial information that gives an organization/company its understanding of what is happening financially to its organization. With accounting a company can identify its economic events and records these events in order to have a history of the company’s financial activities. This will allow the company to measure their finances in dollars and cents therefore an accountant can communicate the company’s economic events through analyze and by interpret the reported information to the company. Analyzing uses...
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...Case Study Analysis-D Critical Thinking Case Study Analysis: GOOGLE 1. Describe the philosophical principle Google's managers adopt when deciding that the benefits of operating in China outweighed the costs. Discuss the philosophical approaches to ethics. Describe the approaches that are favored by most moral philosophers and form the basis for current models of ethical behavior in international business. Google began to operate in China in 2000, it was two years later that the Chinese authorities blocked the site. Although this came as a surprise for the company’s managers, two weeks later the service was restored. It was clear that China was a strategically important market and Google couldn’t just ignore that. We begin our approach to philosophical ethics by describing what is called straw men. These approaches can be characterized as the Friedman doctrine, cultural relativism, the righteous moralist and the naive immoralist. The Friedman doctrine says that the only responsibility of business is to create profits, as long as the company remains within the rules of law. Yet this argument breaks down because the rules of the game are not well established and differ from country to country, and that may lead to inadequacies in a company’s social responsibility. The basic belief in cultural relativism is that a company should adopt the culture within which it is doing business. But serious contradiction arises from this approach, for example let’s assume that in one...
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...constant amount is ordered when inventory declines to a predetermined level. Answer: TRUE Diff: 2 Page Ref: 746 Main Heading: Inventory Control Systems Key words: inventory control systems, continuous inventory system 6) In a periodic inventory system, a constant amount is ordered when inventory declines to a predetermined level. Answer: FALSE Diff: 2 Page Ref: 747 Main Heading: Inventory Control Systems Key words: continuous inventory system 7) The EOQ is the optimal order quantity that will minimize total carrying costs. Answer: FALSE Diff: 2 Page Ref: 748 Main Heading: The Basic EOQ Model Key words: economic order quantity models, EOQ models 8) Assumptions of the basic EOQ model include constant demand, no shortages, constant lead time, and gradual usage. Answer: FALSE Diff: 2 Page Ref: 748 Main Heading: The Basic EOQ Model Key words: economic order quantity models, EOQ models 9) The non-instantaneous receipt...
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...Carroll, Archie B. The Pyramid of Corporate Social Responsibility: Toward the Moral Management of Organizational Stakeholders, Business Horizons, July-August 1991 For the better part of 30 years now, corporate executives have struggled with the issue of the firm’s responsibility to its society. Early on it was argued by some that the corporation' sole responsibility was to provide a maximum financial return to s shareholders. It became quickly apparent to everyone, however, that this pursuit of financial gain had to rake place within the laws of the land. Though social activist groups and others throughout the 1960s advocated a broader notion of corporate responsibility, it was not until the significant social legislation of the early 1970s that this message became indelibly clear as a result of the creation of the Environmental Protection Agency (EPA), the Equal Employment Opportunity Commission (EEOC). the Occupational Safety and Health Administration (OSHA), and the Consumer Product Safety" Commission (CPSC). These new governmental bodies established that national public policy now officially recognized the environment. employees, and consumers to be significant and legitimate stakeholders of business. From that time on, corporate executives have had to wrestle with how they balance their commitments to the corporation' owners with their s obligations to an ever-broadening group of stakeholders who claim both legal and ethical rights. This article will explore the nature...
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...NELLCO NELLCO Legal Scholarship Repository Harvard Law School John M. Olin Center for Law, Economics and Business Discussion Paper Series Harvard Law School 8-3-2004 The Institutions of Corporate Governance Mark J. Roe Harvard Law School Recommended Citation Roe, Mark J., "The Institutions of Corporate Governance" (2004). Harvard Law School John M. Olin Center for Law, Economics and Business Discussion Paper Series. Paper 488. http://lsr.nellco.org/harvard_olin/488 This Article is brought to you for free and open access by the Harvard Law School at NELLCO Legal Scholarship Repository. It has been accepted for inclusion in Harvard Law School John M. Olin Center for Law, Economics and Business Discussion Paper Series by an authorized administrator of NELLCO Legal Scholarship Repository. For more information, please contact tracy.thompson@nellco.org. ISSN 1045-6333 HARVARD JOHN M. OLIN CENTER FOR LAW, ECONOMICS, AND BUSINESS THE INSTITUTIONS OF CORPORATE GOVERNANCE Mark J. Roe Discussion Paper No. 488 08/2004 Harvard Law School Cambridge, MA 02138 This paper can be downloaded without charge from: The Harvard John M. Olin Discussion Paper Series: http://www.law.harvard.edu/programs/olin_center/ The Social Science Research Network Electronic Paper Collection: http://papers.ssrn.com/abstract_id=###### This paper is also a discussion paper of the John M. Olin Center's Program on Corporate Governance JEL K4, H73, G34, G28 ...
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...controlling an organization (a group of one or more people or entities) or effort for the purpose of accomplishing a goal. Resourcing encompasses the deployment and manipulation of human resources, financial resources, technological resources and natural resources. -Wikipedia According to Harold Koontz, "Management is the art of getting things done through and with people in formally organised groups." Harold Koontz gave this definition of management in his book "The Management Theory Jungle". Management involves the activities to control and monitor the people in an organization to achieve the desired goals of the organization. The roles of management include planning, organizing, staffing, directing and monitoring the employees. A manager directs the people to perform the tasks which ultimately result in gaining the goals of the company. Management also deals with the allocation, planning, and manipulation of the resources available to the organization. In the recent years the concept of management has changed because of the decentralization in the organizations. Today, management facilitate the activities of the workers instead of controlling them. There is no universally accepted definition for management, therefore it is difficult to define what management is. The term Management is very broad in nature. A simple traditional definition of management is "art of getting things done by others". This definition brings in two elements namely accomplishment of goals and objectives...
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...critical aspect of any organization; without accounting a business will not be successful. This paper will inform one of the purposes of accounting; the four basic financial statements; how the basic financial statements are interrelated; and why they are useful for managers, investors, creditors, and employees. Accounting is crucial for every business. Purpose of Accounting Accounting is the information system that records, identifies, and communicates an organization’s economic events to interested users (Weygandt, Kimmel, & Kieso, 2008). The definition of financial accounting is the field of accounting that treats money as a means of measuring an organization’s economic performance as opposed to a factor of production. This is comparable to cost accounting (Walden University, 2011). Financial accounting involves the entire system of controlling and monitoring money as it comes in and out of the organization as liabilities and assets; as well as revenues and expenses (Walden University, 2011). Financial accounting pulls together and summarizes the financial data to produce financial reports, such as a balance sheet and income statement for an organization’s investors, lenders, management, tax authorities, suppliers, and other stakeholders (Walden University, 2011). Financial accounting provides financial and economic data for creditors, investors, and other external users (Weygandt, Kimmel, & Kieso, 2008). Taxing authorities want to know whether the company complies with...
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...Work Organization Ouita Vartuli Atlanta AIU BUSN 105 Introduction to Business September 22, 2015 Abstract This paper will discuss a work organization. It will also describe several issues, with the organization. The paper will identifies the impact of potential change factors including the role of technology. Introduction This paper will discuss a work organization. It will also describe several items organization, basic legal environment, social and economic environment. This paper will explain the management structure, operational issues and financial issues. Last this paper will identify the impact of potential change factors including the role of technology. Tradeshows Tradeshows is an exhibition organized so that companies in a specific industry can showcase and demonstrate their latest products service, study activities of rivals and examine recent market trends and opportunities. I have been doing tradeshows since 1986. Basically we set-up and dismantle shows. I am in a union. The union I am with is Local 834. Basic Legal Environment In our capitalist societies, we work properly with the support by the government, which set some ground rules for all to follow. These are some laws and government agencies that affect U.S business they are as follow: Occupational Safety and Health Act (OSHA), Equal Employment Opportunity Commission (EEOC), Sherman Antitrust Act, Clayton Act, Contract Clause. Occupational Safety and Health Act require that business...
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...the other words, a management concept is more wide-ranging than a business concept. There are two distinct parts to management, first is managing the process. Managers are the ones who need to forecast what will happen next, and they need to plan what they need to do next to avoid loss and disadvantages, also to achieve their goals. Secondly, managers are required to manage the people, comprising leadership and motivation, for example, motivate the workers by providing cafeteria in the company. According to Mary Parker Follet, management is the art of getting things done through people. “The definition of management is therefore that is an economic organ, indeed the specifically economic organ of an industrial society. Every act, every decision, every deliberation of management has as its first dimension an economic dimension.” – Peter F Drucker. According to Drucker, management has three basic economic functions, they are: managing a business, managing managers and managing worker and work. To create a customer ad to make new and creative innovations are the purpose of managing a business. To manage managers, the management has to be objective, they also required to have a proper structure of manager’s jobs, creating the spirit and passion in the company, and making stipulation for the next generations of managers. Managing worker...
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...The Roles of a Manager within the Functional Areas of Business MGT/521 February 14, 2015 Professor The Roles of a Manager within the Functional Areas of Business The role of a manager is very broad and it exists across all industries ranging from larger public corporations, states governments, profit and non-profit entities, to small private businesses and within all levels of each organization. An organization is composed of 10 functional areas in which managers play an important role in order to meet the firm’s objectives. I am going to touch upon the various roles a manger plays within these 10 functional areas of a business: Law, Human Resources Management, Leadership, Accounting, Finance, Economics, Research and Statistics, Operations Management, Marketing, and Strategic Planning. The legal department has the responsibilities of protecting the organization from any legal issue, ensuring all aspects of the business are complying with any state laws and federal laws. A manager’s role within the legal department various depended on his position, but ultimately they are the legal experts within organization when legal issues appear and must stay current on key federal, state and local laws and regulations. “HR professional in small to midsize companies often wear many hats. Their time can be spread across staffing functions, employee relations, benefits and compensation, human resources information systems, payroll, organizational development, and even facilities...
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...a. Management principles are universal in nature explain (5marks) NATURE OF MANAGEMENT To understand the basic nature of management, it must be analysed in terms of art and science, in relation to administration, and as a profession, in terms of managerial skills and style of managers. Management is Combination of Art and Science Management knowledge exhibits characteristics of both art and science, the two not mutually exclusive but supplementary. Every discipline of art is always backed by science which is basic knowledge of that art. Similarly, every discipline of science is complete only when it is used in practice for solving various kinds of problems faced by human beings in an organisation or in other fields of social life which is more related to an art. Art basically deals with an application of knowledge personal skill and know-how in a specific situation for efficiently achieving a given objective. It is concerned with the best way of doing things and is consequently, personalised in nature. During the primitive stages of development of management knowledge, it was considered as an art. There was a jungle of managerial knowledge. It was not codified and systemised. People used it to get things done by others, in their own way giving an impression that whosoever uses it, knows the art of using it. This kind of loose and inadequate understanding of management supported the view that it was an art. Management as a Science Science means a systematic body of knowledge...
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