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Explain the term financial management in detail, and discuss why financial managers need to understand the concept of the time value of money in addition to financial instruments such as bonds and stocks

Financial management is about making decisions with regards to investment in assets, the raising of capital to pay for these investments, and the creation of value for companies.

Explain the term financial management in detail, and discuss why financial managers need to understand the concept of the time value of money in addition to financial instruments such as bonds and stocks. Please use examples to illustrate your explanations.

Word limit: 1,500-2,000


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