Manajemen Keuangan - Sesi 1

Summary

This session covers the fundamentals of financial management in companies, discussing key areas such as the role and duties of financial managers, who oversee treasury and control functions, as well as the importance of financial statements. The session explains types of financial statements, like balance sheets, income statements, and cash flow statements, highlighting how these aid in investment, capital structuring, and working capital management. It also introduces the agency problem and agency costs that arise from differing interests between shareholders and management, aiming to help viewers grasp essential financial concepts and their applications in corporate settings.

Takeaways

• 📊 Financial managers handle corporate financial management, focusing on treasury (cash, receivables, payables) and control (accounting, taxes, and data processing).
• 🏢 Financial management is crucial in managing investments, capital, and working capital within a company.
• 💼 Investment decisions involve asset purchases, known as capital budgeting.
• 💰 Capital structure decisions deal with sources of funding, including debt and equity.
• 📈 Working capital management involves handling short-term finances like collections and payments.
• 👥 The relationship between ownership and management is known as an agency relationship, which can lead to agency problems and costs due to conflicting interests.
• 📋 Financial reports, including the balance sheet, income statement, and cash flow statement, are essential for decision-making and informing stakeholders.
• 📉 The balance sheet presents the company’s financial position, highlighting assets, liabilities, and owner’s equity.
• 💵 The income statement shows company performance over a period, with net income derived from revenue minus expenses.
• 🔄 The cash flow statement is critical in financial management, tracking the cash inflows and outflows, separating cash from operations, investments, and financing.

Q & A

What is the main focus of this financial management session?

The session focuses on understanding financial reports, their purpose, and the functions of financial management in a company.

What are the two main functions of a financial manager?

The two main functions of a financial manager are the treasury function, which includes cash management, receivables, payables, financial planning, and capital expenditure, and the control function, which involves accounting, tax management, and financial data processing.

What are the three key areas of financial management?

The three key areas of financial management are investment (capital budgeting), financing (capital structure), and working capital management.

How are companies categorized in Indonesia based on legal status?

Companies in Indonesia are categorized into two: legal entities (e.g., foundations, limited liability companies like PT) and non-legal entities (e.g., sole proprietorships, civil partnerships, firms, and limited partnerships or CV).

What is the main goal of financial management?

The main goal of financial management is to make good financial decisions that increase the value of the company or its stock price.

What is an agency relationship in financial management?

An agency relationship refers to the separation between ownership (shareholders) and management (directors), where the owners are the principals, and management acts as their agents.

What is agency cost, and how does it arise?

Agency cost arises from the conflict of interest between the owners (principals) and management (agents). It includes costs like management expenses that benefit the management but burden shareholders and the costs of monitoring management activities.

What are the three main financial reports in a company?

The three main financial reports are the balance sheet (statement of financial position), income statement (profit and loss statement), and cash flow statement.

What is the balance sheet, and what does it show?

The balance sheet shows a company's financial position at a specific point in time. It includes assets on the left side and liabilities plus owner's equity on the right side.

What is the purpose of a cash flow statement in financial management?

The cash flow statement provides an overview of cash inflows and outflows in a company, and it helps assess liquidity by showing the difference between cash entering and leaving the company.