THE FUTURE

Group 1 Rabino, Dean Reanald Pascua, Shynekah

Garcia, Mark Angello Perjes, Carlo Maravilla, Jessa Arguelles, Anjana Bayta, Mikko

Jimenez, Airez May Siscar, Lorena Fuentes, Jimenez Chavez, Noralyn Marasigan, Ivy Montesa, Desire
Contoso Ltd.
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Pr
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 Private Finance Public Finance

Vs

FINANCE

REVENUE EXPENDITURE

PRIVATE SECTOR PUBLIC SECTOR

Public Finance is the study of
income, expenditure,
borrowing and financial policy
and administration of the
Government, on the other hand Private Finance
Private Finance works into and
income, expenditure, Public Finance
borrowing and financial of
individuals on private
cooperation
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 PRIVATE FINANCE & PUBLIC FINANCE
DIFFERENCE
BASIS OF COMPARISON PRIVATE FINANCE
Meaning Private finance is study of income
and expenditure, borrowing, etc.
of individual, households and
business firm.
Adjustment Individuals adjust their
spending as per their income
Objective To maximize profit
Nature of budget An individual attempts to
maintain a surplus budget
PUBLIC FINANCE
Public finance is concerned with
the revenue/income and
expenditure, borrowings, etc. of
the economy or government
Government adjust the income
according to the size of
expenditures on different
segments
To promote social welfare
The government prefers a
deficit budget
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 PRIVATE FINANCE & PUBLIC FINANCE
DIFFERENCE
BASIS OF COMPARISON PRIVATE FINANCE PUBLIC FINANCE

Nature of Income Individuals do not have the Law gives the government right
power and facilities to compel to acquire income. Government
others to pay taxes or expand compel people to pay taxes.
money supply.

Financial Transaction Transaction are kept Secret Transaction are open and known
to all ○ Monetize
Authorize

○ Lorem ipsum
Income and Expenditure An individual’s expenditure is based The government first thedolor sit amet,
estimetae
on his income consectetur
its expenditures, then finds out
adipiscing elit.
means to secure the necessary
income

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 Objective Aim at the satisfaction of Human
wants .

Policies Follow sound or unsound

financial policies. If the
government follow sound
financial policies. It maximizes
social welfare to the people in
the same manner that an
individual maximizes his
welfare

Administration Require efficient administration

for their operations. Corrupt
and inefficient government
administration or private
operations will lead to misuse
and wastage of financial and
other borrow.
Similarities
Private Finance and
Income Expenditure and Borrowing Have limited sources of income,
Public finance Both earn their incomes, Both
can spend in anticipation of
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 Private finance and Public Finance

individual financing Money spent by

his/her own car by Government entities
mortgage. on health, educations
etc.

Income of the
Businessmen/women Government

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Thank You!