question and ansur

question and ansur.
1-List and briefly describe the three basic areas addressed by a financial manager.
2-What should be the primary goal of the financial manager of a corporation? Why?
3-List and explain the methods that shareholders have at their disposal for aligning managers goals with their goals.
4-Stockholders can transfer wealth from bondholders through a variety of actions. Explain how the following actions by shareholders transfer wealth from bondholders: a. An increase in dividends. b. A leveraged buyout c. Acquiring a risky business.
Explain how bondholdeers would protect themselves against these actions.
5-Explain why the income statement is not a good representation of cash flow.
6-Note that in all of our cash flow computations to determine cash flow of the firm, we never include the addition to retained earnings. Why not? Is this an oversight?
7-Interpret, in words, what cash flow of the firm represents by discussing operating cash flow, changes in net working capital, and additions to fixed assets.
8-Why is cash flow management important?

question and ansur