Introduction Of Finance

Finance is defined as the management of money and includes activities like investing, borrowing, lending, budgeting, saving, and forecasting. There are three main types of finance:

  • Personal
  • Cooperate
  • Government

EXAMPLES

The easiest way to define finance is by providing examples of the activities it includes. There are many different career paths and jobs that perform a wide range of finance activities. Below is a list of the most common examples:

  1. Investing personal money in, bonds, or guaranteed investment certificates.
  2. Borrowing money from institutional investors by issuing bonds on behalf of a Public company.
  3. Lending money to people by providing them a mortgage to buy a house with.
  4. Using Excel spreadsheets to build a budget and financial model for a corporation.
  5. Saving personal money in a high-interest savings account.
  6. Developing a forecast for government spending and revenue collection.

SOURCE OF FINANCIAL INFORMATION

To learn more about the industry, here are some of the most popular and helpful resources:

  • Google Finance.
  • The SEC Website.
  • Bloomberg news.

TYPES OF TOPICS

  1. Interest rates and spreads
  2. Yield
  3. Financial statement
  4. Cash flow
  5. Profit
  6. Cost of capital
  7. Rates of return
  8. Shareholders
  9. Risk and return

TYPES OF FINANCE

Presently entrepreneur, startups, businesses must be aware of all types of finance available in the market. Also it’s their primary due to analyze it like, what they can do, which type of financing technique is better to another, and where required funding can be found. So here you can gain enough knowledge about it.

  • Debt Financing.
  • Short Term Types of Finance.
  • Medium Term Type Finance.
  • Long Term Type Finance.

Short Term Type Finance

Short-term financing most commonly applies to cash required for the everyday activities of the business, for example, obtaining raw materials or paying wages to their staff members.

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