Managing Earnings**** Please provide original answers with references and each question numbered. Please provide originality report !!!!1. Examine the role of management as it relates to finance in acorporation. In your post, discuss the role of management byaddressing the following prompts:Explain the various aspects of finance that management must understand. Describe why a manager needs to understand thecharacteristics and importance of financial markets including theirliquidity, competitiveness, and efficiency. Interpret the function of the Financial Balance Sheet in assisting in management’s decision making process.Discuss what could happen if management does notfulfill responsibilities related to finance. Share a real world examplefrom your own professional experience or from an external source.Your post should be 200-250 words in length.2. After reading the first two chapters of your textbook, evaluate thefollowing statement:Managers should not focus on the current stock value becausedoing so will lead to overemphasis on short-term profits at the expenseof long-term profits.In your post, explain what is meant by this statement. Describehow management might decide whether to focus on short term or long termgoals and how that decision impacts the organization. Next, using thefinancial balance sheet as displayed in the text, compute an example ofhow focusing on short term profits can be detrimental to long termprofits. Share your opinion regarding whether you feel it’s a betteroption to focus on short term or long term goals. Use evidence from thetext or external sources to support your position. 200-250 words in length3. After reading Chapters 3 and 4 of your textbook, address each of the following questions:Think of something you want or need for which youcurrently do not have the funds. It could be a vehicle, boat, horse,jewelry, property, vacation, college fund, retirement money, etc.Select something which costs somewhere between $2,000 and $50,000. Usethe “Present Value Formula”, which computes how much money you need tostart with now to achieve the desired monetary goal. Assume you willfind an investment that promises somewhere between 5% and 10% intereston your money (you choose the rate) and pretend you want to purchaseyour desired item in 12 years. (Remember that the higher the return,usually the riskier the investment, so think carefully before decidingon the interest rate.) How much do you need to invest today to reachthat desired amount 12 years from now?You wish to leave an endowment for your heirs that goesinto effect 50 years from today. You don’t want to be forgotten afteryou pass so you wish to leave an endowment that will pay for a grandsoirée yearly and forever. What amount would you like spent yearly tofund this grand party? How much money do you have to leave to yourheirs 50 years from now assuming that will compound at 6% interest?Assuming that you have not invested anything today, how much would youhave to invest yearly to fully fund the annuity in 50 years, againassuming a 6% monthly compounding rate?200-250 words in length4. Companies often try to keep accounting earnings growing at a relativelysteady pace in an effort to avoid large swings in earnings from periodto period. They also try to manage earnings targets. Reflect on thesepractices and discuss the following in your discussion post.Are these practices ethical?What are two tactics that a financial manager can use to manage earnings? What are the implications for cash flow and shareholder wealth?Using the financial balance sheet as displayed in the text,provide an example of how purchasing an asset or issuing stocks orbonds could potentially impact earnings targets.Your post should be 200-250 words in length.