This chapter reviews the increasingly important area of financial management and examines
• the two major forms of financial statements used in the industry
• basic accounting terminology employed by electronic media managers
• methods used to produce good financial performance and to monitor financial progress
For years, electronic media education has focused on the operating skills thought to be necessary for a successful career in the industry. Traditionally, the major topics studied have been sales, programming, production, and management. Massive changes triggered by the deregulatory climate of the 1980s catapulted another subject to prominence in the curriculum. That subject is financial management.