This book aims to present the main topics of modern financial management, the understanding of which is essential for addressing the critical problems faced by businesses and organizations.

The topics covered in the book include corporate finance (financial statements, working capital, financial planning, business financing), investment decision analysis (investment evaluation), stock markets (portfolio management), and modern financial products (derivatives).

At the same time, the book introduces innovative topics concerning the application of modern methodologies from the field of operational research to financial decision-making. In this way, it also presents a section of contemporary scientific research for those interested in acquiring specialized knowledge in the field.

The book has been enriched with numerous new exercises and case studies to aid a better understanding of theoretical approaches. It is aimed at undergraduate and postgraduate students studying financial science, as well as business executives, organizational and financial institution managers, financial/stock market analysts, and investors.

Contents:

• The operating cycle of an industrial enterprise and general accounting
• The basic financial statements
• Static financial equilibrium: Working capital, working capital requirements, and cash result
• The financial equilibrium of the business (dynamic perspective based on flows)
• Financial ratios and the analysis of a company’s viability
• The use of financial ratios for predicting business bankruptcy
• Profitability, risk, and break-even analysis
• The sources and uses of funds statement, methods of financial forecasting
• Long-term financing of the business
• Financial mathematics
• Investment decision under certainty
• Investment decision under uncertainty
• Investment portfolio management
• Financial derivatives