Which of the following are the objectives of Financial Planning?

(A) To ensure availability of funds whenever required.

(B) To see that the firm does not raise funds unnecessarily.

(C) Helps to cope with business shocks.

(D) Helps in minimizing cost of production.

Choose the correct answer from the options given below:

Option 1 -> Includes (D) which relates to production management, not financial planning.

Option 2 -> Includes (A), (B), and (C) which are all core objectives of financial planning - ensuring fund availability, avoiding unnecessary fund raising, and preparing for business uncertainties.

Option 3 -> Incorrectly includes (D) as minimizing cost of production is an operations management objective, not a financial planning objective.

Option 4 -> Excludes (A) which is a fundamental objective of financial planning - ensuring funds are available when needed.

Hence, Option 2: (A), (B) and (C) only -> Financial planning aims to ensure availability of funds when required, prevent unnecessary fund raising that increases costs, and help firms prepare for and cope with business shocks through adequate reserves and contingency planning. Minimizing cost of production is an operations/production management objective, not a direct objective of financial planning. -> correct