In: Financial Management Explain Nature and Scope of Financial Management. Explain Nature and Scope of Financial Management. 1 Answer afaq 76 Questions 64 Answers 3 Best Answers 17 Points View Profile afaq Added an answer on September 1, 2020 at 12:10 pm Nature of Financial Management Decides capital structure: Financial Management Decides the capital structure of the firm/ company Selects the Investment pattern: allocate the funds among the different profitable investment avenues. Raises Shareholder’s value: Financial management aims to raises the shareholder value. Apply financial controls: It controls all the finance of the firm. Scope of Financial Management Investment decision: Financial Management Helps in taking decisions for the Investment Where to invest the Finance. Working Capital decision: Financial Management Helps in taking decisions for the Working Capital How It Maintains the relationship between short-term assets and its liabilities. Dividend Decision: Financial management helps in the dividend decision it involve developing a proper dividend policy regarding the distribution Financing decision: how the required funds should be raised from available long term or short term sources. 0 Reply Share Share Share on WhatsApp Share on Facebook Share on Twitter Share on LinkedIn Sorry, you do not have a permission to answer to this question.