[Management and Organizational Studies 2310A/B] - Midterm Exam Guide - Everything you need to know! (36 pages long)

• School: Western University
• Department: Management and Organizational Studies
• Course: Management and Organizational Studies 2310A/B
• Professor: Nicholas Kahnert

Document Summary

Corporate finance: the study of ways to answer these three questions. These questions are important to managers in all areas of the corporation. Selecting the firm"s lines of business (question 1) shapes the jobs of managers in production, marketing, and management information systems. As a result, most large corporations centralize their finance function and use it to measure performance in other areas. The owners (shareholders) are not directly involved in making business decisions. Managers represent the owners" interests, make decisions on their behalf. Also have to answer the three questions above. The top financial manager within a firm is usually the cheif financial officer (cfo). The cfo reports to the president, who is the chief operating officer (coo) in charge of day-to-day operations. The coo reports to the chairman, who is usually chief executive officer (ceo). The ceo has overall responsibility to the board. The cfo coordinates the activities of the treasurer and the controller.