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In addition to allocation, ownership of economic resources normally involves a problem of safeguarding and protecting their resources from misuse or misappropiation. It becomes particulary important when the resources are entrusted to someone other than the owner. This may occur by way of loan, or people invest some of the funds in a business venture in which they are not personally conducting. Sound decissions regarding resource allocation and protection often depend upon the availability of fiancial information. It has been to meet those need that according and some associated methods of producing financial information have envolved the practice of financial management has developed.
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