Question

How does financial accounting differ from financial management in terms of focus?

a.

Financial accounting focuses on risk analysis, while financial management focuses on risk and return analysis.

b.

Financial accounting focuses on keeping records, while financial management focuses on financial statements analysis, risk and return analysis, business proposal, and capital budgeting.

c.

Financial accounting focuses on capital budgeting, while financial management focuses on risk management.

d.

Financial accounting focuses on financial statements analysis, while financial management focuses on internal control.

Posted under IC 89 Management Accounting

Answer: (b).Financial accounting focuses on keeping records, while financial management focuses on financial statements analysis, risk and return analysis, business proposal, and capital budgeting. Explanation:Financial accounting is mainly concerned with keeping records, while financial management focuses on financial statements analysis, risk and return analysis, business proposal, and capital budgeting.

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Q. How does financial accounting differ from financial management in terms of focus?
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