Financial Management Assignment #1


Here is the assignment for the week.  Use the California State Writing Rubric to gauge your progress.  The other rubric will be used later in the semester.


Question: Identify which 3 of the 10 Principles of Finance are most important to YOU and if starting a business or running a department, how would you communicate the importance to your department and directors?


10 Principles of Finance (chapter 1)

  1. Risk – Return Trade off
  2. Time Value of Money
  3. Cash -not profits – is King
  4. Incremental cash flows count
  5. The curse of competitive markets
  6. Efficient capital markets
  7. The agency problem
  8. Taxes bias business decisions
  9. All risk is not equal.
  10. Ethical dilemmas are everywhere in finance.


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