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For proper accounting, to avoid losses
Finance is meant to be managed because it ensures that resources are allocated efficiently, goals are met, and risks are minimized. Proper financial management helps individuals and organizations plan for the future, make informed decisions, and maintain financial stability. Without careful management, there’s a higher risk of overspending, debt accumulation, and financial crisis. Managing finances also allows for better investment opportunities and ensures that financial goals, such as savings and growth, are achievable.
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The finance is to be managed for doing calculations of profit and loss and tax payments of income tax or by adding gst