Financial management involves three main activities: financing decisions, investment decisions, and dividend policy decisions. Financing decisions include estimating funding needs, procuring funds, and planning capital structure. Investment decisions encompass cash management, working capital management, capital budgeting, portfolio management, and risk management. Dividend policy decisions focus on profit allocation and framing dividend policies. The objectives of financial management are profit maximization, wealth maximization, maintaining sufficient liquidity, and adding shareholder value, with a growing importance on risk-return tradeoffs, financial restructuring, portfolio management, and facilitating growth.