Sound finance means the observance of certain arrangements which
have become sacred habit and tradition.
- It is an instrumental rather than intrinsic good.
- Sound finance is sometimes worshipped as an end in itself
- Sound finance is used in the banking industry.
- It refers to a government or a community project.
- For Eg. Assets must be utilized to Ensure the best outcome to
limited growth of associated liabilities.
- Important characteristics of sound financial planning
are.:-
- Simplicity, foresight,liquidity Economy etc
- Sound financial planning is necessary for the success of any
business Enterprise.
- Each team member assist clients in making sound financial
decisions .
- Manages company's financial resources and cash flow.
- Helps in making sound management decision and
- Can help in avoiding business risks.