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How is finance associated to accounting and economics

How is finance associated to the disciplines of accounting and economics?

Financial management is basically a combination of accounting and economics. Firstly, financial managers employ accounting information such as balance sheets, income statements, and so on-to analyze, plan, and allocate financial resources for business firms. Secondly, financial managers use economic principles to guide them in making financial decisions which are in the best interest of the firm. In other terms, finance is applied area of economics which relies onto the accounting for input.

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