Financial Management
Free NCERT-aligned resource for the 2026–27 academic session.
Part/unit weightage: 15 marks where the official CBSE structure groups this unit under the indicated section. Theory is 80 marks and project work is 20 marks. citeturn0search11
1. What You Need to Learn
Meaning and objectives; financial decisions; investment, financing and dividend decisions; financial planning; capital structure; fixed and working capital.
2. Core Concepts
Financial management aims to maximise shareholders’ wealth while making sound investment, financing and dividend decisions. Working capital supports day-to-day operations; fixed capital supports long-term assets.
3. Common Mistakes
Do not confuse investment decision with financing decision. Working-capital requirements depend on operating cycle, scale, growth and other factors.
4. Case-Based & Exam Practice
- Identify the financial decision in a case.
- Explain factors affecting capital structure and working capital.
- Distinguish fixed and working capital..
5. Quick Revision Checklist
- Can you define the key terms in NCERT language?
- Can you identify the concept from a business case?
- Can you explain the reason, feature, advantage or limitation?
- Can you apply the concept to a new situation?
