\"The goal of financial management is to take actions which maximize the value of a firm's...

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Finance

\"The goal of financial management is to take actions which maximizethe value of a firm's stock. Those actions will eventually appearin the firm's financial statement, so a general understanding offinancial statements is very important for the manager.\"

Given the recent failure of many financial institutions, doyou believe business leaders really understand and use all of theconcepts and principles we teach in accounting, finance, andeconomics?

In addition, do you believe financial managers are trulyconcerned about maximizing the value of a firmâ€™s stock?

Why or why not?

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The role of the financial manager particularly in business is changing in response to technological advances that have significantly reduced the amount of time it takes to produce financial reports Financial managers main responsibility used to be monitoring a companys finances but they now do more data analysis and advise senior managers on ideas to maximize profits Current failures in many financial institutions are generally caused by a wide variety of causes and most of the times ripple into failure of interlinked financial institutions Case 1 Failure of AIG One of the most recent example was failure of Lehman See Answer

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