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Letter of Credit (LOC)
A popular bank instrument begins that a bank has granted the holder an amount of credit equal to the face amount of the L/C. A bank guarantees payment of its customer's draft up to a beginning amount for a given period of time.
Q. Explain Compound Value Concept? The Compound Value Concept is used to find out the FV of present money. It is the same as the concept of compound interest, wherein the inter
What level of profits can you earn in a perfectly competitive market and what drives markets towards perfect competition over the long run?
Q. Describe the Meaning of Financial Management? Meaning of Financial Management: - Financial management is a vital as well as an integral part of business management. It demot
Q. What is Deposit Method? Deposit Method - Related to sales of real estate, under this method seller doesn't recognize any profits, doesn't record a note RECEIVABLE and contin
State the term - Redemption Redemption is repayment of debt security at or before maturity. Redemption could at par or at a premium to face value. A debt security will be rede
Organizational Cost Drivers It is the cost consequences that result from managerial choices concerning the company of activities as well as the involvement of persons inside an
Let us consider a bond with callable or prepayable feature. Figure shows the price/yield relationship of option-free bond and callable bond. The price yield
what are the functions of money market
Product Pricing Through Simulation Having studied a simpler problem, let us revert to our earlier illustration regarding fixing a price. Let us suppose that we want to simul
What is a financial ratio? A financial ratio is a number that convey the value of one financial variable relative to another. Put more easily, a financial ratio is the final
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