The economic and financial situation is so convoluted that companies have to make real financial engineering. Currently based out any financial aspect is crucial in organizations, but from Finance Strategy wonder if there is any priority or major concern for any specific area of financial management. That’s why we published a survey with which we intend to know if during this year’s financial managers will focus their objectives in seeking financing, risk control, improved management or strategy development internationalization.

The results obtained so far show that the risk control and the search for funding are the main priorities. Do you agree with this result?

No doubt, there can be limited to a single priority for financial management has to play many sticks and cannot leave any leg of their activity without considering and look closely. Thus, the managers have noted the views that have made Linkedin. In any case everything happens for a lack of credit and therefore the need of working capital.

What do you think are the priorities of the CFO in 2011?

As already presented in previous articles about the accounting terms. Accounting is called the language of business because it is a tool to deliver financial information to parties who need it. The better we understand the language, then the better our decisions, and the better we are in financial management. To convey such information, the accounting reports are used or what is known as financial report. The financial report of a company usually consist of four types of reports, namely the balance sheet, income report, report of capital changes and cash flow report.

Balance Sheet, is a systematic list of assets, debt and capital on a particular date, which is usually made at the end of the year. Referred to as a systematic list, because the balance sheet is based on a particular order. In the balance sheet can be known how many of the company’s assets, the company’s ability to pay obligations and the ability of the company obtained additional loans from outside parties. It can also be obtained information about the company’s debt to the creditor and the amount of existing owners of investment in the company. (more…)