What is the Significance of Financial Management?

Significance:

The ratio reveals in percentage how much of sales is available for recouping fixed costs and higher the sustaining capacity of the firm to stay in the competitive market. It assists in determining the volume of production required for earning desired profit. This is why management aims to enhance the ratio. The following method can be used:

  • By enhancing the selling price per unit.
  • By decreasing per unit variable cost.
  • By altering the sales mix to sell more profitable products where this ratio is more significant.
ভারতের 5টি সেরা বর্ষাকালীন গন্তব্য 5 Best Monsoon Destinations in India What is Scientific Management? What are the Functions of Management? What is the concept of Management?
ভারতের 5টি সেরা বর্ষাকালীন গন্তব্য 5 Best Monsoon Destinations in India What is Scientific Management?