THE IMPACT OF FINANCIAL MANAGEMENT IN A CORPORATE ORGANIZATION (A CASE STUDY OF NICON INSURANCE COMPANY LIMITED ENUGU)

THE IMPACT OF FINANCIAL MANAGEMENT IN A CORPORATE ORGANIZATION  (A CASE STUDY OF NICON INSURANCE COMPANY LIMITED ENUGU)

ABSTRACT: This project examined “the impact of financial management in a corporate organization” using NICON insurance as a case study. Financial management means to plan and control the finance of a corporate organization. It is done to achieve the objective of the organization which includes profit maximization, wealth maximization, proper estimation of total financial requirement of the organization, proper mobilization, proper utilization of finance etc. The problems of the study were identified as well as the objectives of the study which includes to examines the impact of financial management in corporate organization. Related literatures were reviews and the research methodology x-rayed, which consist of the population, source of data, sample size, method of investigation. The researcher after her analysis made some findings, among them being that financial manager is important in an organization. Conclusions and recommendations were made.

TABLE OF CONTENTS

CHAPTER ONE – INTRODUCTION                         1

1. Background of the Study                                         1
2. Statement of the Problem                                 3
3. Objective of the Study                                      4
4. Research Questions                                          4
5. Significance of the Study                                         5
6. Scope and Limitation of the Study                     7
7. Definition of Terms                                          8

CHAPTER TWO – LITERATURE REVIEW                12

2.1  Meaning of financial management                      12

2.2  Scope/Elements of Financial Management           12

2.3  Objectives of Financial Management                   13

2.4  Functions of Financial Management                           14

2.5  The Importance of Financial Management            17

2.6  The Summarize/Points on Importance of F.M.             20

2.7  Aims/Goals of Financial Management                  21

2.8  Financial Ratio/Analysis                                     27

2.9  Sources of Data for Financial Ratios                          29

2.10 Purpose and Types of Ratios                              30

2.11 Problems of Financial Management                     31

CHAPTER THREE – RESEARCH METHODOLOGY            35

3.1  Sources of Data                                               35

3.2  Population of the Study                                    35

3.3  Sample Size                                                    36

3.4  Instrument Used for the Study                          36

3.5  Validity of the Instrument                                 37

3.6  Reliability of the Instrument                              37

CHAPTER FOUR – FINDINGS                                38

4.1  Summary of Findings                                       38

4.2  Discussion of Findings                                      40

CHAPTER FIVE – CONCLUSION AND

RECOMMENDATIONS                                            42

5.1  Conclusions                                                     42

5.2  Recommendations                                           43

Bibliography                                                    45

Appendix                                                        47

CHAPTER ONE

INTRODUCTION

1.1  BACKGROUND OF THE STUDY

Financial management involves all the activities of the financial managers concern with the rising of capital lining cash and credit requirement including the effective control of financial resources.

The financial management in an organization performs various activities ranging from converting forecast into planned and budget; planning the appropriate capital structure; raising cash flow outside the business; forecasting the future, investing surplus fund; controlling the cash balance and flow in accordance with plans and with changing circumstance.

Base on the activities above, the practicing managers are interested in the study of financial management because among the most crucial decision of the firms are those which relates to the financial matters an so are giving better treatment for better understanding of financial management which provide them conceptual and annalistically insight on the capital fund and using the capital fund are called financial function of any firm.

THE IMPACT OF FINANCIAL MANAGEMENT IN A CORPORATE ORGANIZATION  (A CASE STUDY OF NICON INSURANCE COMPANY LIMITED ENUGU)