CBSE Class 12 Business Studies Financial Management Worksheet Set F Solved

Access the latest CBSE Class 12 Business Studies Financial Management Worksheet Set F Solved. We have provided free printable Class 12 Business Studies worksheets in PDF format, specifically designed for Chapter 9 Financial Management. These practice sets are prepared by expert teachers following the 2025-26 syllabus and exam patterns issued by CBSE, NCERT, and KVS.

Chapter 9 Financial Management Business Studies Practice Worksheet for Class 12

Students should use these Class 12 Business Studies chapter-wise worksheets for daily practice to improve their conceptual understanding. This detailed test papers include important questions and solutions for Chapter 9 Financial Management, to help you prepare for school tests and final examination. Regular practice of these Class 12 Business Studies questions will help improve your problem-solving speed and exam accuracy for the 2026 session.

Download Class 12 Business Studies Chapter 9 Financial Management Worksheet PDF

 FINANCIAL MANAGEMENT
 
1 Define Financial Management.
Financial Management is concerned with optimal procurement as well as usage of finance.
 
2 What is wealth maximisation concept?
Primary aim of financial management is to maximise shareholder’s wealth, which is referred to as the wealth maximisation concept.
 
3 What is Financial planning? Explain its objectives.
Financial planning is essentially preparation of a financial blueprint of an organisation’s future operations.
The objective of financial planning is to ensure that enough funds are available at right time. Financial planning strives to achieve the following twin objectives.
(a) To ensure availability of funds whenever these are required
(b) To see that the firm does not raise resources unnecessarily.
 
4 State the importance of Financial planning.
(i) It tries to forecast what may happen in future under different business situations.
(ii) It helps in avoiding business shocks and surprises and helps the company in preparing for the future.
(iii) If helps in coordinating various business functions e.g., sales and production functions,by providing clear policies and procedures.
(iv) Detailed plans of action prepared under financial planning reduce waste, duplication of efforts, and gaps in planning.
(v) It tries to link the present with the future.
(vi) It provides a link between investment and financing decisions on a continuous basis.
(vii) By spelling out detailed objectives for various business segments, it makes the evaluation of actual performance easier.
 
5 Define Capital Structure.
Capital structure refers to the mix between owners funds and borrowed funds. These shall be referred as equity and debt in the subsequent text.
 
6 Define Fixed Capital.
What are the factors affecting the requirement of Fixed Capital. Fixed capital refers to investment in long-term assets.
Factors affecting the requirement of Fixed Capital
1. Nature of Business
2. Scale of Operations
3. Choice of Technique
4. Technology Up gradation
5. Growth Prospects
6. Diversification
7. Financing Alternatives
8. Level of Collaboration.
 
7 Name the three broad decisions that are part of the finance function.
a. Investment decision
b. Financing decision
c. Dividend Decision.
 
8 What is Financial Leverage?
The proportion of debt in the overall capital is called Financial Leverage.
 
9 Define Dividend Decision and what are the factors affecting it.
Dividend is that portion of profit which is distributed to shareholders.
(a) Earnings (b) Stability of Earnings (c) Stability of Dividends (d) Growth Opportunities (e) Cash Flow Position (f) Shareholder Preference (g) Taxation Policy (h) Stock Market Reaction.
 
10 Discuss the factors affecting choice of capital structure.
1. Cash Flow Position
2. Interest Coverage Ratio (ICR): The interest coverage ratio refers to the number of times earnings before interest and taxes of a company covers the interest obligation. ICR = EBIT Interest. The higher the ratio, lower is the risk of company failing to meet its interest payment obligations.
3. Debt Service Coverage Ratio (DSCR): Debt Service Coverage Ratio takes care of the deficiencies referred to in the Interest Coverage Ratio (ICR).
4. Return on Investment (RoI): If the RoI of the company is higher, it can choose to use trading on equity to increase its EPS, i.e., its ability to use debt is greater.
5. Cost of debt: A firm’s ability to borrow at a lower rate increases its capacity to employ higher debt. Thus, more debt can be used if debt can be raised at a lower rate.
6. Tax Rate: Since interest is a deductible expense, cost of debt is affected by the tax rate.
7. Cost of Equity:
8. Floatation Costs: Process of raising resources also involves some cost.
9. Risk Consideration
10. Flexibility:
11. Control: Debt normally does not cause a dilution of control.
12. Regulatory Framework
13. Stock Market Conditions:
 
11 Define Working Capital. What are the Factors affecting the requirement of Working Capital.
Working Capital refers to the capital required for day to day working of an organisation.
Working capital may be defined as the excess of current assets over current liabilities.
Factors affecting the requirement of Working Capital:
1. Nature of Business
2. Scale of Operations
3. Business Cycle
4. Seasonal Factors
5. Production Cycle
6. Credit Allowed
7. Credit Availed.
 
12 When is financial leverage favourable?
When ROI is higher than cost of Debt.
 
13 Explain how ‘cost of debt’ affects the choice of capital structure of a company.
A. If the cost of debt is low then the capital structure of the firm will be skewed towards debt.
 
14 1.'A business that doesn't grow dies', says Mr. Shah, the owner of Shah Marble Ltd. with glorious 36 months of its grand success having a capital of Rs.80 crore. Within a short span of time, the company could generate cash flow which not only covered fixed cash payment obligations but also create sufficient buffer. The company is on the growth path and a new breed of consumers is eager to buy the Italian marble sold by Shah Marble Ltd.
To meet the increasing demand, Mr. Shah decided to expand his business by acquiring a mine. This required an investment of Rs.120 crore. To seek advice in this matter, he called his financial advisor Mr. Seth who adivsed him about the judicious mix of equity (40%) and Debt (60%). Mr. Seth also suggested him to take loan from a financial institution as the cost of raising funds from financial institutions is low. Though this will increase the financial risk but will also raise the return to equity shareholders. He also apprised him that issue of debt will not dilute the control of equity shareholders. At the same time, the interest on loan is a tax deductible expense for computation of tax liability.
After due deliberations with Mr. Seth, Mr. Shah decided to raise funds from a financial institution.
(a) Identify and explain the concept of Financial Management as advised by Mr. Seth in the above situation.
(b) State the four factors affecting the concept as identified in part 'a' above which have been discussed between Mr. Shah and Mr. Seth.
Ans. (a) Capital structure.
(b) (i) Cash flow position
(ii) Floatation cost
(iii) Risk consideration
(iv) Tax rate
(v) Control.


Please click on below link to download CBSE Class 12 Business Studies Financial Management Worksheet Set A Solved

Chapter 01 Nature and Significance of Management
CBSE Class 12 Business Studies Nature And Significance of Management Case Studies
CBSE Class 12 Business Studies Nature and Significance of Management Worksheet Set A
CBSE Class 12 Business Studies Nature And Significance of Management Worksheet Set A Solved
CBSE Class 12 Business Studies Nature and Significance of Management Worksheet Set B
CBSE Class 12 Business Studies Nature And Significance of Management Worksheet Set C
CBSE Class 12 Business Studies Nature And Significance of Management Worksheet Set D
CBSE Class 12 Business Studies Nature and Significance of Management Worksheet Set E
CBSE Class 12 Business Studies Nature and Significance of Management Worksheet Set F
CBSE Class 12 Business Studies Nature and Significance of Management Worksheet Set G
CBSE Class 12 Business Studies Nature and Significance of Management Worksheet Set H
CBSE Class 12 Business Studies Nature And Significance of Management Worksheet Set I
CBSE Class 12 Business Studies Nature and Significance of Management Worksheet Set J
CBSE Class 12 Business Studies Nature and Significance of Management Worksheet Set K
Chapter 02 Principles of Management
CBSE Class 12 Business Administration Concepts of Management Worksheet Set A
CBSE Class 12 Business Administration Concepts of Management Worksheet Set B
CBSE Class 12 Business Administration Introduction To Management Worksheet Set A
CBSE Class 12 Business Administration Introduction To Management Worksheet Set B
CBSE Class 12 Business Administration Introduction To Management Worksheet Set C
CBSE Class 12 Business Studies Principles of Management Worksheet Set A
CBSE Class 12 Business Studies Principles of Management Worksheet Set B
CBSE Class 12 Business Studies Principles of Management Worksheet Set C
CBSE Class 12 Business Studies Principles of Management Worksheet Set D
CBSE Class 12 Business Studies Principles of Management Worksheet Set E
CBSE Class 12 Business Studies Principles of Management Worksheet Set F
CBSE Class 12 Business Studies Principles of Management Worksheet Set G
CBSE Class 12 Business Studies Principles of Management Worksheet Set H
CBSE Class 12 Business Studies Principles of Management Worksheet Set I
CBSE Class 12 Business Studies Principles of Management Worksheet Set J
CBSE Class 12 Business Studies Principles of Management Worksheet Set K
CBSE Class 12 Business Studies Principles of Management Worksheet Set L
Chapter 03 Business Environment
CBSE Class 12 Business Studies Business Environment Worksheet Set A
CBSE Class 12 Business Studies Business Environment Worksheet Set B
CBSE Class 12 Business Studies Business Environment Worksheet Set C
CBSE Class 12 Business Studies Business Environment Worksheet Set D
CBSE Class 12 Business Studies Business Environment Worksheet Set E
CBSE Class 12 Business Studies Business Environment Worksheet Set F
CBSE Class 12 Business Studies Management and Business Environment Worksheet Set A
CBSE Class 12 Business Studies Management and Business Environment Worksheet Set B
Chapter 04 Planning
CBSE Class 12 Business Studies Planning Worksheet
CBSE Class 12 Business Studies Planning Worksheet Set A
CBSE Class 12 Business Studies Planning Worksheet Set B
CBSE Class 12 Business Studies Planning Worksheet Set C
CBSE Class 12 Business Studies Planning Worksheet Set D
CBSE Class 12 Business Studies Planning Worksheet Set E
CBSE Class 12 Business Studies Planning Worksheet Set F
CBSE Class 12 Business Studies Planning Worksheet Set G
CBSE Class 12 Business Studies Planning Worksheet Set H
CBSE Class 12 Business Studies Planning Worksheet Set I
Chapter 05 Organising
CBSE Class 12 Business Studies Organising Worksheet Set A
CBSE Class 12 Business Studies Organising Worksheet Set A Solved
CBSE Class 12 Business Studies Organising Worksheet Set B
CBSE Class 12 Business Studies Organising Worksheet Set C
CBSE Class 12 Business Studies Organising Worksheet Set D
CBSE Class 12 Business Studies Organising Worksheet Set E
CBSE Class 12 Business Studies Organising Worksheet Set F
CBSE Class 12 Business Studies Organising Worksheet Set G
CBSE Class 12 Business Studies Organising Worksheet Set H
CBSE Class 12 Business Studies Organising Worksheet Set I
CBSE Class 12 Business Studies Organising Worksheet Set J
CBSE Class 12 Business Studies Organising Worksheet Set K
CBSE Class 12 Business Studies Organising Worksheet Set L
CBSE Class 12 Business Studies Organising Worksheet Solved
Chapter 06 Staffing
CBSE Class 12 Business Studies Staffing Worksheet Set A
CBSE Class 12 Business Studies Staffing Worksheet Set B
CBSE Class 12 Business Studies Staffing Worksheet Set C
CBSE Class 12 Business Studies Staffing Worksheet Set D
CBSE Class 12 Business Studies Staffing Worksheet Set E
CBSE Class 12 Business Studies Staffing Worksheet Set F
CBSE Class 12 Business Studies Staffing Worksheet Set G
CBSE Class 12 Business Studies Staffing Worksheet Set H
CBSE Class 12 Business Studies Staffing Worksheet Set I
CBSE Class 12 Business Studies Staffing Worksheet Set J
CBSE Class 12 Business Studies Staffing Worksheet Set K
Chapter 07 Directing
CBSE Class 12 Business Studies Directing Worksheet Set A
CBSE Class 12 Business Studies Directing Worksheet Set A Solved
CBSE Class 12 Business Studies Directing Worksheet Set B
CBSE Class 12 Business Studies Directing Worksheet Set B Solved
CBSE Class 12 Business Studies Directing Worksheet Set C
CBSE Class 12 Business Studies Directing Worksheet Set C Solved
CBSE Class 12 Business Studies Directing Worksheet Set D
CBSE Class 12 Business Studies Directing Worksheet Set E
CBSE Class 12 Business Studies Directing Worksheet Set F
CBSE Class 12 Business Studies Directing Worksheet Set G
CBSE Class 12 Business Studies Directing Worksheet Set H
CBSE Class 12 Business Studies Directing Worksheet Set I
CBSE Class 12 Business Studies Directing Worksheet Set J Solved
Chapter 08 Controlling
CBSE Class 12 Business Studies Controlling Worksheet Set A
CBSE Class 12 Business Studies Controlling Worksheet Set B
CBSE Class 12 Business Studies Controlling Worksheet Set C
CBSE Class 12 Business Studies Controlling Worksheet Set D
CBSE Class 12 Business Studies Controlling Worksheet Set E
CBSE Class 12 Business Studies Controlling Worksheet Set F
Chapter 09 Financial Management
CBSE Class 12 Business Studies Financial Management Worksheet Set A
CBSE Class 12 Business Studies Financial Management Worksheet Set A Solved
CBSE Class 12 Business Studies Financial Management Worksheet Set B
CBSE Class 12 Business Studies Financial Management Worksheet Set C
CBSE Class 12 Business Studies Financial Management Worksheet Set D
CBSE Class 12 Business Studies Financial Management Worksheet Set E
CBSE Class 12 Business Studies Financial Management Worksheet Set F Solved
CBSE Class 12 Business Studies Financial Management Worksheet Set G
CBSE Class 12 Business Studies Financial Management Worksheet Set H
Chapter 10 Marketing
CBSE Class 12 Business Studies Marketing Management Worksheet Set A
CBSE Class 12 Business Studies Marketing Management Worksheet Set B
CBSE Class 12 Business Studies Marketing Management Worksheet Set C
CBSE Class 12 Business Studies Marketing Management Worksheet Set D
CBSE Class 12 Business Studies Marketing Management Worksheet Set E
CBSE Class 12 Business Studies Marketing Management Worksheet Set F
CBSE Class 12 Business Studies Marketing Worksheet Set A
CBSE Class 12 Business Studies Marketing Worksheet Set B
CBSE Class 12 Business Studies Marketing Worksheet Solved
Chapter 11 Consumer Protection
CBSE Class 12 Business Studies Consumer Protection Act Worksheet Set A
CBSE Class 12 Business Studies Consumer Protection Act Worksheet Set B
CBSE Class 12 Business Studies Consumer Protection Worksheet Set A
CBSE Class 12 Business Studies Consumer Protection Worksheet Set B
CBSE Class 12 Business Studies Consumer Protection Worksheet Set C
Practice Worksheets Class 12 Business Studies
CBSE Class 12 Business Studies All Chapters Question Bank
CBSE Class 12 Business Studies All Chapters Solved Worksheet
CBSE Class 12 Business Studies Question Bank
CBSE Class 12 Business Studies Worksheet Set A Solved
CBSE Class 12 Business Studies Worksheet Set B Solved
CBSE Class 12 Business Studies Worksheet Set C Solved
CBSE Class 12 Business Studies Worksheet Set D Solved
CBSE Class 12 Business Studies Worksheet Set E Solved
CBSE Class 12 Business Studies Worksheet Set F Solved
CBSE Class 12 Business Studies Worksheet Set G Solved
~ Class 12 Business Studies (Old Chapters)
CBSE Class 12 Business Studies Financial Market Worksheet Solved
CBSE Class 12 Business Studies Financial Markets Worksheet Set A
CBSE Class 12 Business Studies Financial Markets Worksheet Set B
CBSE Class 12 Business Studies Financial Markets Worksheet Set C

Important Practice Resources for Class 12 Business Studies

Chapter 9 Financial Management CBSE Class 12 Business Studies Worksheet

Students can use the Chapter 9 Financial Management practice sheet provided above to prepare for their upcoming school tests. This solved questions and answers follow the latest CBSE syllabus for Class 12 Business Studies. You can easily download the PDF format and solve these questions every day to improve your marks. Our expert teachers have made these from the most important topics that are always asked in your exams to help you get more marks in exams.

NCERT Based Questions and Solutions for Chapter 9 Financial Management

Our expert team has used the official NCERT book for Class 12 Business Studies to create this practice material for students. After solving the questions our teachers have also suggested to study the NCERT solutions  which will help you to understand the best way to solve problems in Business Studies. You can get all this study material for free on studiestoday.com.

Extra Practice for Business Studies

To get the best results in Class 12, students should try the Business Studies MCQ Test for this chapter. We have also provided printable assignments for Class 12 Business Studies on our website. Regular practice will help you feel more confident and get higher marks in CBSE examinations.

Where can I download the latest PDF for CBSE Class 12 Business Studies Financial Management Worksheet Set F Solved?

You can download the teacher-verified PDF for CBSE Class 12 Business Studies Financial Management Worksheet Set F Solved from StudiesToday.com. These practice sheets for Class 12 Business Studies are designed as per the latest CBSE academic session.

Are these Business Studies Class 12 worksheets based on the 2026 competency-based pattern?

Yes, our CBSE Class 12 Business Studies Financial Management Worksheet Set F Solved includes a variety of questions like Case-based studies, Assertion-Reasoning, and MCQs as per the 50% competency-based weightage in the latest curriculum for Class 12.

Do you provide solved answers for CBSE Class 12 Business Studies Financial Management Worksheet Set F Solved?

Yes, we have provided detailed solutions for CBSE Class 12 Business Studies Financial Management Worksheet Set F Solved to help Class 12 and follow the official CBSE marking scheme.

How does solving CBSE Class 12 Business Studies Financial Management Worksheet Set F Solved help in exam preparation?

Daily practice with these Business Studies worksheets helps in identifying understanding gaps. It also improves question solving speed and ensures that Class 12 students get more marks in CBSE exams.

Is there any charge for the Class 12 Business Studies practice test papers?

All our Class 12 Business Studies practice test papers and worksheets are available for free download in mobile-friendly PDF format. You can access CBSE Class 12 Business Studies Financial Management Worksheet Set F Solved without any registration.