Financial planning helps management establish financial and operating goals for the company and to communicate those goals throughout the company.

Question

Quizplus · Accepted Answer

Financial planning is a key management activity that involves setting financial and operating goals for the company and communicating them to all stakeholders. It helps management make informed decisions about resource allocation, risk management, and growth strategies, and ensures that the company stays on track to achieve its objectives. Overall, financial planning is essential for the long-term success and profitability of the company.

Financial Planning Helps Management Establish Financial and Operating Goals for the Company