Which one of the following is related to planning, organising, directing and controlling of financial activities?

Financial management

The correct answer is option 4- Financial management.

Financial management is related to planning, organising, directing and controlling of financial activities.

Financial Management is concerned with optimal procurement as well as the usage of finance. For optimal procurement, different available sources of finance are identified and compared in terms of their costs and associated risks. Similarly, the finance so procured needs to be invested in a manner that the returns from the investment exceed the cost at which procurement has taken place. Financial Management aims at reducing the cost of funds procured, keeping the risk under control and achieving effective deployment of such funds. It also aims at ensuring availability of enough funds whenever required as well as avoiding idle finance.

Options 1,2 and 3 are all part of Financial Management.