What are the differences between investment and financing?

What are the differences between investment and financing?

Investment and financing are two important concepts in the world of business. Investment involves the use of money to purchase assets that can generate a return, while financing involves the use of debt or equity to fund a business. The main difference between investment and financing is that investments are used to generate a return, while financing is used to fund operations. Additionally, investments may involve the purchase of assets such as stocks, bonds, and real estate, while financing typically involves the use of debt instruments such as loans, credit lines, and bonds. Finally, investments are usually made with the expectation of a return, while financing is often done to support current operations.

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