“Financial management is simply managing the limited financial resources of the organization. » This includes the use of cash and other assets such as equipment. Financial management has a different meaning from “Financial management is the study of obtaining funds and using them efficiently and judiciously, with regard to the overall objectives of the enterprise. The important role of financial management has increased significantly in recent times. Factors such as unpredictable economic turns, interest rate fluctuations, inflation and disinflation require the handling of top-level financial management skills. There is a demand for financial management in many sectors of society, particularly in the construction sector. The study of financial management has developed over time in response to the changing needs of business management. Generally speaking, the field of finance is linked to economics and accounting. Finance was recognized as an independent field of study in 1900. Due to the Great Depression of the 1900s, the emphasis shifted from capital funds to the sustainability of capital and the maintenance of liquidity. Government intervention in the financial side of the company increased during this period. The most important stages of contemporary financial management began in the mid-1950s. The nature of financial management was concerned with the study of fixed asset management of investment budgets, effective use of existing assets , capital structure, composition and dividend policy. The risk-return relationship has also been emphasized over the past 30 years. The overall objective is to maximize the wealth of the company's shareholder in the long term, by increasing the market value (price) of the shares. The objectives of financial management are1. P...... middle of paper ......e horizontal and vertical financial statements a useful way to analyze financial statements is to perform a horizontal or vertical analysis of a statement analysis. These analyzes help the reader of financial statements compare companies of different sizes. Horizontal analysis focuses on trends and changes in financial statement items over time. Along with the numbers presented in financial statements, horizontal analysis can help a financial statement user see relative changes over time and identify positive or perhaps worrying trends. States for two or more time periods are used in landscape analysis. The earliest period is generally used as the base period and the states elements for all subsequent periods relative to the base period of the object states. Changes are displayed in general, both in rupees and in percentage..