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Finance, on the other hand, involves analyzing the historical information and using it to plan and make future decisions. This includes such areas as budgeting, forecasting, strategic planning and due diligence.
Distinguishing Between Accounting and Finance
Accounting is the language of business. It is used to communicate financial information about an organization. Accountants are trained to critically evaluate alternatives. They examine which approach will be best for a business when more than one approach can be logically supported. Accounting is also the process of identifying, measuring, and communicating economic information about an organization for the purpose of making decisions and informed judgments...
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