Financial Acumen

In your response to your classmates, consider comparing cash generation techniques at your company versus his or her company. Draw distinctions based on the industry and tell your colleagues why those distinctions are necessary for the management of cash flow. Below are additional suggestions on how to respond to your classmates’ discussions:

· Ask a probing question, substantiated with additional background information, evidence or research.

· Share an insight from having read your colleagues’ postings, synthesizing the information to provide new perspectives.

· Offer and support an alternative perspective using readings from the classroom or from your own research.

· Validate an idea with your own experience and additional research.

· Make a suggestion based on additional evidence drawn from readings or after synthesizing multiple postings.

· Expand on your colleagues’ postings by providing additional insights or contrasting perspectives based on readings and evidence.

Author: Bindiya Marneni

Part 1

Companies will always have to deal with different Financial Problems are always there should be experience people who will have strategies and thoughts to make a successful desicission.it is never possible to have a estimate about the expenditure There should be a experience person these people are called as the Financial acumen. These people are the one who will have the viability of the economy to maintain and manage the investments and all other actions of the company. These Financial acumens not only work in financial company these are also present in the government, non-government, healthcare, schools etc. To make sure all these are running in a good way a good governance will be needed to support to the person who will take care of the financial matters. The Financial acumen is the person will have been supposed to have certain principles which makes good for the economical status about the organization.

When we take the example of the health care which are the hospitals mainly there are trying very hard to increase the standards of the hospital and give best for the patients .These people are the once who are trying to increase the scope of the hospitals with the best quality of equipment and treatment. To increase the scope of the hospitals there should be a capital which the estimate will be given by the Financial acumen which will lead the companies to the end of their visionary. But when it comes to the business companies the acumen has to be very careful about the name of the organization, they should also take care of the deals and projects which will be involved in getting the money. The financial acumen will have to plan where and how should invest the capital and estimating the prices for all the services. Taking care of all these things will be very difficult and very stressful for the person who is taking care which will lead to big economical crisis on the organization.

PART-2

Sarbanes-Oxley is a act that was first started in 2002.The particular act has different names in the senate also which is also called as the SOX. The primary objective of the Sarbanes Is the securing investors. The main intention of the act is to get the confidence of the investors which will also help to increase the efficiency to the organization. This act is the American federal law. The American business are very much under influence of this act more the large-scale industries the small business in America full stressed by this act as there are so many additional costs for the implementation of this act. Due to these there are conflicts that will happen by the sox. There are many issues found in the act one of them is the business name must be registered to the public accounting and which cannot be overruled by the SOX. Buy this there is a very impacted in the negative way of the business.

References

Morrison, P. and Morrison, J. (1967). Business Acquisitions Illustrate Need for Greater Uniformity in Accounting Principles. Financial Analysts Journal, 23(1), pp.51-56.

Whitley, R. (1986). The transformation of business finance into financial economics: The roles of academic expansion and changes in U.S. capital markets. Accounting, Organizations and Society, 11(2), pp.171-192.