Page 9 - Microsoft Word - 00 ACCA F9 IWB prelims 2017.docx

Chapter 1

The financial management function

Outcome

By the end of this session you should be able to:
 explain the nature and purpose of financial management (FM)

 distinguish between FM and financial and management accounting

 discuss the relationship between financial objectives, corporate objectives and
corporate strategy
 identify and describe a variety of financial objectives, including shareholder
wealth maximisation, profit maximisation and earnings per share growth

 identify stakeholders, their objectives and possible conflicts and discuss those
conflicts
 discuss the role of management in meeting stakeholder objectives, including the
use of agency theory

 explain ways to encourage the achievement of stakeholder objectives, including
managerial reward schemes and regulatory requirements

 discuss the impact of not-for-profit status on financial and other objectives

 discuss the nature and importance of Value for Money as an objective in not-
for-profit organisations
 discuss ways of measuring the achievement of objectives in not-for-profit
organisations

and answer questions relating to these areas.

The underpinning detail for this Chapter in your Integrated Workbook can
be found in Chapter 1 of your Study Text

1