Accounting Equation In case of any business firm, the accounting equation forms the basis of its balance sheet. The equation states that: Assets = Liabilities + Equity If we consider a horizontal balance sheet, all assets will be recorded on Read More …
Independent vs. Mutually Exclusive Projects in Capital Budgeting Independent projects are projects which are unrelated to each other, and that allows for each project to be assessed based on its profitability. For example, if projects A and B are independent, Read More …
No company approves or cancels a credit card application without checking your credit score. Many people think that the credit score is a fancy term, but it is not, so banks and several other financial institutions check it before they Read More …
We all hope for the best, but we should prepare ourselves for the worst. No one can foresee the future, but unfortunately, sometimes we are faced with certain circumstances which are beyond our control. A wise man is one who Read More …
Most of us do not let our children take discussion related to money matters; we want to pamper them by doing it all for them. However, this habit curbs the wings to our children, and as a result, they start Read More …
Life is tough, and we all face numerous ups and down in life. These days when layoffs have become a scenario, saving has become an imperative task. But what happens if you suddenly realize that you have no money at Read More …
Shares are units of ownership title in a company or commercial asset that gives for an equal division in case any profits, if any are registered, in the form of dividends. The two main types of shares are common shares Read More …
Although everyone wants money, not everyone likes to invest. Even after not-so-subtle nudges, people hesitate to take the final plunge in the investing world. Today we look at some of the most common excuses given by people who do not Read More …
Financial instruments are monetary contracts among parties. They can be created, modified, traded and settled. Today we take a look at equity financial instruments that you can invest in. OPTIONS: An option is nothing but a financial derivative in Read More …
A swap is a derivative in which two parties switch cash flows of one’s financial instrument with those of the other party’s financial instrument. There are different types of swaps, some of which we are going to discuss today. Zero Read More …