COMMERCE 1E03 Study Guide - Final Guide: Accounts Receivable, Preferred Stock, Stock Certificate

• School: McMaster University
• Department: Commerce
• Course: COMMERCE 1E03
• Professor: Cossa Rita

Document Summary

Finance: the function in a business that acquires funds for the firm and manages them within the firm. Financial management: the job of managing a firm"s resources to meet its goals and objectives. Financial managers: managers who examine the financial data prepared by accountants and recommend strategies for improving the financial performance of the firm. Three of the most common reasons a firm falls financially: undercapitalization (not enough 3431 to run a business, poor control over cash flow. Short-term forecast: forecast that predicts revenues, costs, and expenses for a period of one year or less. Cash flow forecast: forecast that predicts the cash inflows and outflows in future periods, usually months or quarters. Long-term forecast: forecast that predicts revenues, costs, and expenses for a period longer than one year, and sometimes as far as five or ten years into the future.