ABM Grade 12 Modules and activities! 2022-2023

Business Finance part1

WHAT IS FINANCE?

Finance, the process of raising funds or capital for any kind of expenditure. Finance also refers to the management of large amounts of money, especially by Government or large companies. This firm is in charge to provide funding.

[ Ang finance ay isang proseso ng paglikom ng pondo o kapital para sa anumang uri ng paggasta. Ang finance ay tumutukoy din sa pag mamanage ng malaking halaga ng pera, lalo na ng Pamahalaan o malalaking kumpanya dahil ang pamahalaan or ang mga companies na ito ang nag bibigay ng pondo sa bawat sektor or department na nangangailangan ng pera na kanilang gagamitin.]

Halimbawa sa pamahalaan, diba mag nakalaang pondo ang pamahalaan sa bawat sektor, halimbawa sa department of education may pondo sila tapos itong school natin diba under to sa department of education,

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Finance is defined as the management of money and includes activities such as investing, borrowing, lending, budgeting, saving, and forecasting. There are three main types of finance: (1) personal, (2) corporate, and (3) public/government.

Examples of business finance:

1. Investing personal money in stocks, bonds, or guaranteed investment certificates (GICs)

Pag-iinvest ng personal na pera sa mga stock, bond, o guaranteed investment certificate (GICs)

2. Borrowing money from institutional investors by issuing bonds on behalf of a public company

Paghiram ng pera mula sa mga namumuhunan sa institusyon sa pamamagitan ng pag-isyu ng mga bonds sa ngalan ng isang pampublikong kumpanya

3. Lending money to people by providing them a mortgage to buy a house with

Pagpapahiram ng pera sa mga tao sa pamamagitan ng pagbibigay sa kanila ng isang mortgage para makabili ng bahay

4. Using Excel spreadsheets to build a budget and financial model for a corporation

Paggamit ng mga spreadsheet ng Excel upang bumuo ng modelo ng badyet at pananalapi para sa isang korporasyon

5. Saving personal money in a high-interest savings account

Nagse-save ng personal na pera sa in high-interest savings account

6. Developing a forecast for government spending and revenue collection

Pagbuo ng pagtataya para sa paggasta ng pamahalaan at pangongolekta ng kita

Other examples:
1. Savings and investing
2. Pag budget ng pera
3. Pag iipon
4. Lending or loan
5.

WHAT ARE THE FINANCIAL CONTROLS?

Financial controls are the procedures, policies, and means by which organization monitors and controls the direction, allocation and usage of it's financial resources. It is very core of resource management and operational efficiency in any organization.

[ Ang financial controls ay ang mga procedures or policies ng isang organization para ma-monitor at ma-control ang tamang proseso or tamang pag gastos or pag gamit ng financial resources tulad ng pera. At mahalaga ang pag control at pag manage sa resources upang patuloy na mag operate ang isang organization]

WHO ARE THE FINANCIAL MANAGERS? HOW IMPORTANT THEY ARE?

When it comes to large companies, business and governments. Financial Managers are so important, they generally oversee the financial health of an organization. They supervise the important function such as; monitoring cash flow, determining profitability, managing expenses and producing accurate financial information.

[Pagdating sa malalaking kumpanya, negosyo at gobyerno. Napakahalaga ng mga Financial Manager, sa pangkalahatan sila ang nangangasiwa, nag rerecord, at nag mamanage sa financial ng isang organisasyon. Pinangangasiwaan nila ang mahalagang tungkulin tulad ng; pag monitor sa daloy ng pera, pagtukoy ng kakayahang kumita, pamamahala ng mga gastos at paggawa ng accurate na financial information]

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lahat ng nilalabas ni accounting na data ay ginagamit kay finance.

kailangan mag adapt sa environment para mapanatili ang pagtakbo ng mga negosyo.

Finance used to be considered an integral part of economics.

used to utilize resources we have inside the organization. human capital and financial capital ay ginagamit sa finance.

in finance to accounting, accounting is considered as the language of both business and finance.

accounting: day to day transactions, and preparations of financial statements, or flow of your money.

finance, focuses on the management of your assets and liabilities such as financial resources and human capital. Finance also plans for the future of your company.

finances focuses on decision making based on accurate data from accounting.

private finance: personal finance and business finance.

Private finance is the management of financial resources of private individuals, private organizations and non-governmental organizations in accordance with the predcribed financial policy and priority of the person or business organizations.

Public finance is the allocation of government income generates from either taxation or borrowings and the government expenditure based on the approved national and local appropriation or budget. Public finance is also called as fiscal administration.

Under private finance:
Personal finance is a sub-category of private finance which is directed towards the management of personal resources of an individual. Income is allocated based on individual's personal needs such as household expenses, education, hospitalization and acquisition of personal and real properties.

Business finance focuses on handling and management of financial resources of a business organization. The three major divisions of business finance are financial management, capital market and financial investment.

Financial management focuses on capital budgeting decision or investment decision on the acquisition of assets and its corresponding financing scheme.

Capital market studies the different financial institutions and their functions that provide assistance to both private and public borrowers of funds.

Financial investment includes business decisions about the value and price of stocks, bonds, and behavior of the investors.

Finance management, tumutukoy sa tamang proseso ng paggamit ng pera ng isang organization upang makamit nila ang kanilang mga layunin.

ang financial management ay nakakatulong sa isang individual kung paano mag ipon o magkaroon ng investment for their families and their future.

ang pagkakaroon ng savings and investments ay mahalaga dahil ito ay nakakatulong sa pag ikot ng pera sa ating bansa at pag iipon ng pera for future purposes.

ang financial management ay nakakatulong sa isang organization at corporation dahil sa pamamagitan nito ay mag nabibigyan ng pagkakataon ang bawat tao upang magkaroon ng trabaho, dahil mas maraming trabaho mas malago ang ekonomiya.

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