PE ratio stands for price to earning ratio. The price earnings ratio indicates the expectation of equity investors about the earnings of the firm. Further, it relates earnings to market price and is generally taken as a summary measure of…
‘Corporate Social Responsibility’ is corporate initiative to assess & take responsibility for the company’s effects on the environment & its impact on social welfare. What is Corporate Social Responsibility? CSR is the process by which an organization thinks about and…
Capital asset pricing model provides an conceptual framework for evaluating any investment decision. And explains the relationship between expected return and risk of investing in a security. 1.What is Capital asset pricing model? The CAPM distinguishes between risk of holding…
Due diligence is used to investigate and evaluate a business opportunity. It implies a general duty to exercise care in any transaction. What is due diligence? Most legal definition of due diligence describe it as measure of prudence activity, or…
Cost accounting is defined as ” the process of accounting for cost which begins with recording of income and expenditure or the basis on which they are calculated & ends with the preparation of periodical statements and reports of ascertaining…
Risk management is the art of using lessons from the past to mitigate misfortune and exploit future opportunities. In other words, the art of avoiding the stupid mistakes of yesterday while recognizing that nature can always create new ways for…
Cash flow statement provides relevant information in assessing a company’s liquidity, quality of earnings and solvency. Further, cash flow statement is a summary of cash payments and receipts. Information about cash flow is useful in providing users of financial statements…
Adjusted Present Value is used in evaluating foreign project. The adjusted present value model is additive approach to capital budgeting process . In brief, each cash flow is considered individually & discounted at a rate consistent with risk involved in…
Now a days many of us use bank locker facility for safe custody of jewelry and important documents. If you have bank locker or planning to open new locker then you must know the RBI new guidelines. Reserve bank of…
The commercial bill is instrument drawn by a seller of goods on a buyer of goods. A Commercial bill is one which arises out of a genuine trade transaction, i.e. credit transaction. As soon as goods are sold on credit,…