legal reserve

Q: Discuss Present Value of Perpetuities?

A: Perpetuity is the stream of cash flows or payments that are made at equal intervals that do not have…

Q: Differentiate between Reserve capital and Capital Reserve on the basis of time when it can be used.

A: Capital:   It refers to the funds raised to support the business. It is the difference between the…

Q: How can we use special financial functions to determine the total interest?

A: Financial functions have made financial calculations easy using excel, they make you calculate the…

Q: What is net present value?

A:

Q: What are capital resources?

A: Capital resources are goods produced and used to make other goods and services. Capital resources…

Q: What is appropriation?

A: Ans. In accounting, appropriation is done for various reasons such as for distribution of gains,…

Q: What is a financial security?

A: Investors use financial security to be secured financially as they can get some income on periodic…

Q: a present obligation?

A: Given: To explain the economic resource and the present obligation as,

Q: What is financial risk, and how does it arise?

A: Answer: Usually, financial risk refers to a situation where a company is not able to pay its fixed…

Q: Define Money market

A: Answer: Money market is a market place where the short-term securities transactions are made. It…

Q: What are collaterals?

A: Assets are those resources that have some economic value held by an corporation, individual, or…

Q: Give an example of the Present Value of Perpetuities?

A: Perpetuity is a continuous annuity, a progression of equivalent interminable cash flows happening…

Q: What are the uses of funds?

A: The uses of fund are as follows: Purchase of fixed asset: If fixed assets such as plant and…

Q: What is moderate policy (current assets)?

A: Moderate policy is the policy which makes the balance between restricted and relaxed policies. It is…

Q: What are funds transfer pricing?

A: Funds transfer pricing (FTP): It is a method used to estimate how financing/funding improves a…

Q: What is the quantitative disclosure of lessor?

A: Definition: Lease: Lease is a contractual agreement whereby the right to use an asset for a…

Q: What is securitization?

A: Introduction: Finance reflects a broad variety of spaces where decisions can be taken relative to…

Q: How one determines where to borrow or not? What factor into the decision making process?

A: The act of borrowing money or the sum of money borrowed by an individual, company, government, or…

Q: What are the common internal controls in place for capital expenditure cycle? with explanations

A: Internal control is an important part of every organization. It helps in maintaining the efficiency…

Q: What is interest pooling and when is it appropriate?

A: Introduction : Pooling of interests is an accounting technique that allows for the consolidation of…

Q: Define reserve borrowing capacity

A: The question is based on the concept of capacity to borrowing of a firm based on the concept of…

Q: What is liquid asset?

A: A liquid asset can be described as the asset which can be sold into the market easily and can be…

Q: What is Capital market

A: Capital market: It refers to the organised market where the individual and the organisation buy and…

Q: What is the definition of “actuarial present value”?

A: Accumulated Benefit Obligation: It is an inexact rate of a company's pension plan liability towards…

Q: What is the difference between capital expenditure and revenue expenditure?

A: Capital Expenditure: Expenses Incurred and the corresponding benefit out of such expenses lasts for…

Q: What is Asset Management?

A: Asset management (turn over) ratios compare an organization's assets with its turnover. Asset…

Q: Explain Property Type Swap?

A: Answer: Swap alludes to exchange with another between the parties involved in one monetary…

Q: Define the term neutral money.

A: Economics: Economics refers to the social science that deals with the production, distribution and…

Q: What is public finance?

A: Public finance reflects on how and when the government needs to intervene in the economy.

Q: Define Monetary assets.

A: Definition: Assets: These are the resources owned and controlled by business and used to produce…

Q: Define the term Monetary liabilities.

A: Liabilities: The claims creditors have over assets or resources of a company are referred to as…

Q: What is finance

A: Finance brings a business to life. Finance is important for every part of a firm's operations.…

Q: What is a capital expenditure versus a revenue expenditure?

A:

Q: Define the term Effective interest?

A: Interest is the cost charged on amount lent to a borrower by a lender for use of his assets i.e.…

Q: Explain the concept of capitalization effects?

A: Capitalization means recording an expense or cost on the assets side of the balance sheet and…

Q: What is the relationship between a discount rate (or IRR) and a capitalization rate? What causes…

A: Introduction: The discount rate is nothing but a rate that reduces potential cash flows in order to…

Q: What is net present value? How does net preset value work?

A: Net present value:- Net present value is the investment evaluation technique, where we evaluate…

Q: What are the methods of calculating Interest?

A: Interest is an additional amount received on a deposited amount for a deposited period. It increases…

Q: What is a testamentary trust?

A:

Balance Sheet Regulations

A balance sheet is a financial statement that shows the position of a company's assets and liabilities on a specific date. The balance sheet is prepared after preparing the statement of profit and loss statement (income statement). The balance sheet and other financial statements differ in the sense that the balance sheet shows the financial position at any given point in time. In contrast, the other financial statements show the financial performance over a particular duration.