What is Finance? Finance definition The science and art of managing money in order to achieve the appropriate objective. Finance is different contexts (1) Personal Context How to earn adequate amount of money? How much money to spend and save? How much to barrow? How much money to invest? Where to invest the money? When to invest the money? (2) Government Context Generating government revenue e.g.. by deciding how much to tax. Public spending Budgeting Government debt Production distribution public goods. (3) Business Context In what fixed assets to invest? How to raise money for the investment? How to manage the short tern cash hours? How much to reivest in the business? ...