The Basics of Finance

Posted by Mcfadden Ipsen on May 14th, 2021

finance is a broad term encompassing many things about the financial management, development, and monitoring of financial resources and investments. In particular, it concerns the questions of why and how an individual, firm or government obtains the funds necessary to conduct business; called assets in the business context; and how those assets are used or invested. It also takes into account the implications of changes in those variables, and the consequences of those changes for the enterprise as a whole. Finance is related to accounting and the analysis of financial records and data, and to the policies that govern the management of those records and data. It is intimately connected to the financing of an enterprise, as the manager of that enterprise determines the methods by which the resources will be used and how those resources will be invested.