Corporate finance departments are charged with governing and overseeing their firms' financial activities and capital investment decisions. Such decisions include whether to pursue a proposed investment and whether to pay for the investment with equity, debt, or both.
key points-
- Corporate finance is often associated with a firm's decision to undertake capital investments and other investment-related decisions.
- Corporate finance manages short-term financial decisions that affect operations.
- In addition to capital investments, corporate finance deals with sourcing capital.