What is meant by the Issue of shares at a Premium? Usually, a company’s capital is made up of shares that are used to earn more capital for the company. Shares are issued to the public by public companies. Shares are issued through a process called initial public offering or ... Read More

What is a Debenture? A debenture is a form of corporate debt that is not supported by collateral. Therefore, companies do not have to pledge their assets to comply with the capital requirement. The trust of the issuing company is therefore an important factor for the financial validity of the ... Read More

Images Coming soon Liquid Assets: Definition If an asset is easy to sell or convert into cash without any loss in its value it is said to be liquid. For example, checking accounts and banknotes are the most liquid assets. A liquid asset offers any individual or company access to ... Read More

What is a Debenture? A debenture is a certificate issued by a company. It is therefore an unsecured debt tool that is issued by a company to acknowledge that it owes money to the debenture holder. It is usually issued to the public with the help of a prospectus which ... Read More

Introduction Intermediate goods are important intermediaries in the production process and hence they are very important in nature. These goods change or create new goods so that the final product could be made and reached the final consumer. Apart from creating intermediate goods, industries purchase and sell intermediate goods amongst ... Read More

What is an Investment and How it Works? Investment refers to an asset or item for earning income or appreciation in the future. Appreciation refers to growth in the value of the asset over time. When a good is purchased for investment purposes, the intent may not be to use ... Read More

Introduction There is no limit on probable money deposits made by customers in a bank. However, in India, the Central Bank of India, the Reserve Bank has put a limit to which the banks can deposit the amount of loans in their possession. This is done to make sure that ... Read More

What are liabilities? Liabilities mean the debt amount owed by a company to pay past transactions. A company may owe this payment to creditors, lenders, banks, or other financial institutions. These payments are recorded as credits in the balance sheet of a company. Usually, short-term liabilities are placed before long-term ... Read More

Coefficient of Correlation Coefficients of correlation are generally used in statistics to measure a relationship between two variables. The correlation generally shows a specific value of the degree of a linear relationship between two variables, say X and Y. There are many types of correlation coefficients that are used in ... Read More

Introduction Joint stock companies are the leaders in their businesses and almost all bigwigs in their respective fields that we see on TV and in magazine advertisements are joint stock companies. Joint stock companies’ prowess is so heavy that sole proprietorships or partnerships cannot challenge them in their businesses. Joint ... Read More