Which of the following statements best represents what finance is about?
A)The study of how political, social and economic forces affect corporations
B)Maximising profits
C)The study of how people and businesses make investment decisions and how to finance those decisions
D)Reducing risk

Question

Quizplus · Accepted Answer

Finance is primarily concerned with studying how people and businesses make investment decisions and how to finance those decisions. Maximizing profits and reducing risk are important considerations in finance, but they are not the sole focus. The study of how political, social, and economic forces affect corporations is more closely related to the field of economics.

Which of the Following Statements Best Represents What Finance Is