• Finance is a term broadly describing the study and system of money, investments, and other financial instruments.
• Finance can be divided broadly into three distinct categories: public finance, corporate finance, and personal finance.
• More recent subcategories of finance include social finance and behavioral finance.
• The history of finance and financial activities dates back to the dawn of civilization
• While it has roots in scientific fields, such as statistics, economics, and mathematics, finance also includes non-scientific elements that liken it to an art.
• 1. What is finance and why is it important? 2. What is the difference between stocks and bonds? 3. How do you calculate the expected return on a stock? 4. What are the different types of risk in investing? 5. What is the difference between systematic and unsystematic risk? 6. How do you calculate the net present value (NPV) of a project? 7. What is a dividend and how is it paid to shareholders? 8. How does diversification help to reduce risk in an investment portfolio? 9. What is the difference between a bull market and a bear market? 10. What is a mutual fund and how does it work? 11. What is the role of a financial advisor? 12. How do you calculate the present value of an annuity? 13. What is the difference between simple and compound interest? 14. How do you calculate the beta of a stock? 15. What is the efficient market hypothesis and how does it relate to investing?