What is Finance?

Simple we can say Finance is the process of managing money.

But it has a broad definition

Finance is a process of managing money Scientifically such as investing, borrowing, lending, budgeting, saving, forecasting planning, and risk management.

There are three main types of finance:

(1) personal finance

(2) corporate, and

(3) public/government.

Let’s see in the example.

Think Khan is a hairdresser. His monthly salary is $3000 and the monthly expenditure is $2500 and he can save $500 every month. This observation or planning is finance.

A real true every person who knows or unknown about Finance. But they must be related to finance.

They may be students, employees, Business labor, or jobless.

A company or business firm’s money related activities like Capital, investment

Borrowing loans, profit distribution that is finance.

A government budget where from connect fund, text rate, and government expenditure where it is used. How much for education, how much for defense, how much for public treatment, etc. all the monetary and fiscal planning are finance.