Choose the statement that is not appropriate regarding the comparison between finance and accounting. (Only 1 option)

1. Finance and accounting both attempts to paint a picture of how a business is performing.
2. Finance focuses on cashflows instead of profits regarding economic returns.
3. Accounting focuses on historical cost regarding how to value assets.
4. Finance focuses on book value regarding how to value equity.
5. Finance is forward-looking whereas accounting is backward-looking.