Management and Organizational Studies 2310A/B Lecture Notes - Lecture 1: Joint-Stock Company, Sole Proprietorship, Cash Flow

• School: Western University
• Department: Management and Organizational Studies
• Course: Management and Organizational Studies 2310A/B
• Professor: Jun Wang

Document Summary

Corporate finance addresses mainly the following three important questions: what long-term investments should the firm take on, where will we get the long-term financing to pay for the, ex. Total value of asset (left side of balance sheet) What long-term investments should the firm engage in? (right side of balance sheet) Financial managers try to answer some or all of these questions. The top financial manager within a firm is usually the chief financial: treasurer oversees cash management, capital expenditures, controller oversees taxes, cost and financial accounting and and financial planning data processing. Capital structure: what long-term investments or projects should the. Three major forms in canada: sole proprietorship: a business owned by a single individual. Equity capital limited to owner"s personal wealth. Difficult to sell ownership interest: partnership: a business formed by two or more co-owners. Partnership dissolves when one partner dies or wishes to sell.