Explain the Principles of financial management and describe the objectives of financial management.

Financial management is a critical aspect of any organization, ensuring efficient utilization of funds and maximizing shareholder wealth. The principles of financial management provide a framework for making sound financial decisions, while the objectives guide these decisions towards achieving specific outcomes.

Principles of Financial Management:

1. Risk-Return Tradeoff: This principle emphasizes that higher returns are usually associated with higher risks. Financial managers should strive to strike a balance between risk and return that aligns with the organization's risk tolerance and objectives.

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