What is Merchant Bank?
Merchant Bank A Merchant Bank is a bank which deals International finance, business loans for companies and underwriting. These banks …
FUTURE CONTRACTS
Future Contracts is a standardized forward contracts to buy or sell a specific amount of a commodity,currency or financial instrument …
Equity Finance : Definition, Characteristics,Advantages & Disadvantages.
What is Equity Finance? Equity Shares also known as ordinary shares. The shareholders of equity shares are the real owner …
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What is Liquidity Ratio?
Definition Liquidity Ratio also referred to as short-term ratio. This ratio helps to understand the liquidity of a business to …
Export Bill Discounting: Definition, Procedures
What is Export Bill Discounting? Export bill discounting is considered as a kind of financing where a customer sells the …
What is Translation Risk in International Trade?
Definition of Translation Risk Translation risk arises when foreign financial statements of a company is converted into domestic currency. This …
TRANSACTION RISK
The risk arises due to the fluctuation of currency rates. This risk relates to normal trading activities and short term …
Cash Credit Hypothecation (CC HYPO): Definition, Features, Procedures.
What is Cash Credit (Hypo)? Cash Credit (CC) Hypo is one of the most favorite mode of financing. Traders, Industrialist …
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Secured Overdraft Loan (SOD): Definition, Features, Procedures etc.
What is SOD? SOD(G) Stands for Secured Overdraft Facility (General) and OD stands for Overdraft. This is the continuous credit …
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What is Accounting Rate of Return (ARR)? What are the Advantages and Disadvantages of ARR?
Accounting Rate of Return ARR Stands for Accounting Rate of Return (ARR) or Average Rate of Return (ARR). It is also …
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