FINANCIAL PLANNING AND CONTROL: The financial management process begins with the financial planning and decisions. Various financial plannings and decisions are selected by the company for the implement these decisions. The company may choose various kinds of planning for their corporation or a business.
FINANCIAL DECISIONS:
- Investment Decisions
- Financial Decisions
- Dividend Decisions
RISK AND RETURN: After implementing these decisions, the firm has to acquire a certain risk and return characteristics. The risk and the return will be acquired by a business after the financial planning and controlling and take the finance-related decisions.
MARKET PRICE OF SHARES: After the risk and return characteristics of the firm is determined it also determine the market price of the shares in that particular process.
SHAREHOLDER WEALTH: After determining the market shares a corporation also determines the shareholder's wealth in the process.
FEEDBACK: The process must include the feedback system to enable it to take corrective measures if required. It is the last stage of the financial planning process in the financial management.
