One determination of the amount required for running of business and second financing these assets. Everything you need to know about the types of financial decisions taken by a company. Dividend is a part of profits, which are available for distribution to equity shareholders. This decision determines the overall cost of capital and the financial risk for the enterprise. After a careful analysis of risk return trade-off, the size of plant should be determined. The investment decision in short-term assets is crucial for an organization as a short term survival is necessary for the long-term success.