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Basically, the role of business is to produce goods and services which consumers need.
The business firm produces goods and services from the factors of production provided by society. Consumers in turn, buy these goods and services. Business firms thus contribute to the country's economic growth. One measure of economic growth is the Gross National Product (GNP), defined as the total market value of goods and services produced by a country in any given period.
Consequently, to produce goods and services, the business firm has to purchase materials, components, or semi-finished goods from other producers, thereby creating a demand for the outputs of other businesses. It has to pay wages to its personnel. These wages form the income of the workers, who in turn buy foods, clothes, and other goods and services. A business firm co-exists and interrelates with other members in the economic system. Some business firms manufacture the same products or substitutes for others. When we combine these firms as a group, we call them an industry. Thus, we may define an industry as a group of business firms offering similar goods or services. Some examples are the electronics, wood products, chemicals, petroleum, banking and finance, and building and construction industries.
Industries may be broadly classified by sectors, such as the agricultural, manufacturing, trade, construction, and government sectors. The manufacturing sectors include all industries involved in producing goods, while the trade sector includes both domestic and foreign trade.
What else can I help you with?
What is relationship between tally and accounting?
Accounting is making a statement of company's profit and loss,and tally is making a perfect balance between assets and liability
What is the relationship between HR and finance?
`i think flange is what you need son
What is the relationship between accounting and history?
In business, accounts are a history of transactions. In life in general, accounts are a history of events.
A basic difference between managerial accounting and financial accounting is that managerial accounting?
One basic difference between managerial accounting and financial accounting is that managerial accounting is used internally instead of externally for investors. Managers use managerial accounting to determine what level of output is appropriate for their departments.
What are the main different between Financial accounting and Cost accounting?
do you have best answer from FA
What is the relationship between financial accounting and Statistics?
what is the relationships between statistics and accounting
What is the major difference between finance and accounting?
The major difference between finance and accounting is that, accounting is general, deals with all economic facts that occur throughout the financial year, financial is specific deals only with finances
What relationship is there between the accounting equation and the balance sheet?
The relationship between the accounting equation and the balance sheet is the NET PROFIT. ( I THINK :/ )
Importance of chemistry in accounting?
I do not believe there is a relationship between chemistry (the science) and accounting
What is the relationship between finance and accounting?
Finance and accounting are closely related but focus on different aspects of money management. Accounting is about recording, summarizing, and reporting financial transactions. It keeps track of where money is coming from and how it's being spent. Finance, on the other hand, is about planning and managing money for the future. It focuses on how to invest, grow, and protect money. Example: Imagine a business. The accounting team records all sales and expenses, creating reports to show profits or losses. The finance team uses this information to decide whether the business should save, invest, or borrow money to grow. Accounting looks at the past, while finance focuses on the future.
What is the difference between corporate finance and managerial finance?
Corp. finance has to stick to strict accounting procedures and is used by people outside the company (such as the SEC) as well as inside the company. Managerial Finance is for managers and insiders of the company to use, and does not have standard accounting practices.
What has the author Raymond Brockington written?
Raymond Brockington has written: 'Dictionary of accounting and finance' -- subject(s): Dictionaries, Accounting, Finance 'Financial Accounting (M & E Higher Business Education Series)' 'Accounting for Intangible Assets' -- subject(s): Accounting, Intangible property 'A concise dictionary of accounting and finance' -- subject(s): Dictionaries, Accounting, Finance
What is the Relationship between HR and marketing Function of MNE?
Whats the relationship between Finance, people and marketing?
What is the difference in perspective between finance and accounting?
Accounting is creating and managing financial statements which record transactions for businesses. Finance is initiating transactions to aid in cash, investment and other working capital management.
What is the difference between cost accountant and financial accountant?
DISTNGUISH between finance, management accountant and financial accounting
Computer application in finance and accounting?
Yes, computer applications are used greatly in the field of finance and accounting.
Why should you understand finance or accounting?
U Should understand the Basic Finance & Accounting, Bcz in our life indirectly we are using finance and accounts, if we are not know the basic thing of finance and accounting means how we analyse the thing are right or wrong,
