Question : Case Study: ABC Corporation - Financing Growth Strategies
ABC Corporation, a leading manufacturing company, is looking to finance its growth strategies. The company is exploring various sources of business finance to achieve its expansion goals.
Questions : Business Finance and Expansion
Which financial decision involves choosing the appropriate sources of funds for business activities?
Option 1: Marketing strategy
Option 2: Inventory management
Option 3: Financial planning
Option 4: Human resource allocation
Correct Answer: Financial planning
Solution : The correct answer is (c) Financial planning
Financial planning is the process of determining the company's financial goals and objectives and developing strategies to achieve them. It includes decisions related to choosing the right sources of funds to support business activities, manage operational costs, fund expansions, invest in new projects, and achieve sustainable growth. It's about efficiently managing financial resources to align with the company's strategic goals and ensure financial stability and success. Marketing strategy, inventory management, and human resource allocation are important aspects of business operations but are not specifically focused on selecting funding sources.
