What is finance and types of finance?

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Finance is defined as the management of money and it includes activities like investing, borrowing, lending, budgeting. Finance also encompasses oversight, creation, banking.

Finance is a broad term that describes two related activities the study on how to manage the firm and the actual process of acquiring needed funds.

Types of finance

Public finance:- It is a study of income and expenditure of the state it deals only with the fiance of the government. It is a study of a collection of funds and their allocation. It is divided into three parts
Public expenditure:- It means the expenses incurred by the government for its own maintenance and also for prevention and welfare of the society.
Public revenue:- Public revenue includes all the income and receipts irrespective of their source and nature which the government obtains in a year.
Public debt is the loan raised by and is a source of public finance.
2. Private finance:- Private finance is an alternative corporate finance method that helps an organization raise cash to avoid limited frame monetary shortfalls. This is typical serves as a firm that is not listed on a securities exchange or unable to get finance.

3. Corporate finance:- The financial activities related to running a corporation. A divisional or department who oversees the financial activities of the company. It is considered with maximizing shareholder value through long term and short term.

4. personal financing:- Personal finance is the application of the principal of finance to the monetary decision of an individual or family unit.
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