Question

What are the three areas of finance? Institutions and markets, investments, and entrepreneurial finance Investments, institutions and markets, and personal finance Institutions and markets, investments, and financial management Investments, entrepreneurial finance, and financial management

Answer 1

Finance is very important for every organisation. It is the backbone for every organisation. Finance consists of three areas as per following;

1.Investment - In this area, both the group of investors such as retail and institutional investor's decision are taken into consideration. Because they both can affect the functioning of the market.

2. Financial management - It concerned with the decision made by the firm in acquiring and use of the funds. It is important function of the financila management.

3. Money and credit markets - This is the third area of finance. This functions deals with securities market and the financial institutions.

- Institutions and markets, investments, and entrepreneurial finance, etc can be the examples of these three areas.