SF001-Multiple Perspectives on Financial Management
The Role of Financial Management
ABC Underwriters is a publicly traded reinsurance firm. The board of directors recently replaced the chief executive officer and some of her top managers after a lengthy dispute over the integrity of the company’s financial filings. You are being considered for the new chief financial officer role, and as part of the selection process, the board has asked you to explain your views on the role of financial management in promoting a company’s overall success.
Write a concise but comprehensive response as to what you would say that clearly identifies the broader responsibilities of financial management within a company and connects them to the activities of company management in general and to the interests of shareholders. Be sure to describe the main goals and contributions of financial management, identify the goals and interests of shareholders, and describe the relationship between short- and long-term financial goals and shareholder value in your response. (3–4 paragraphs)
Analysis of a Publicly Traded Company
You are an analyst for an investment firm that operates the Global Pioneer Fund, a collection of publicly traded stocks featuring companies with outstanding track records in the areas of ethics, social responsibility, and global stewardship. The fund’s chief analyst has asked you to research the Coca-Cola Company’s financial filings and other annual reports to help decide if the fund should invest in Coca-Cola shares next year.
Based on your research, write an analyst report that analyzes the company’s information and provides specific examples that describe the company’s ethics, social responsibility programs, and commitment to global stewardship and development. Include a brief recommendation that is supported by the evidence collected as to inclusion of Coca Cola in the Global Pioneer Fund. What concerns, if any, would you have about including Coca-Cola shares in the fund? (450–750 words)