Banks in their primitive form act as an intermediary by collecting money from those who have excess money and lending to those who need it for more productive purposes. However in earlier times, the lending was mostly security-oriented and the bad loans were unheard of! The Indian banking system till early 90s was insulated from the global world and was [...]
In this article we will discuss about the return and risk on single asset. Return on Single Asset: The typical object of investment is to make current income from investments in the form of dividends and interest income. The investments should earn reasonable and expected rate of return on investments. Certain investments like bank deposits, public deposits, debentures, bonds etc. [...]
The following methods may be employed for calculating depreciation of an asset: 1. Straight Line Method 2. Reducing Balance Methods 3. Production Based Methods 4. Repair Provision Method 5. Annuity Method 6. Sinking Fund Method 7. Endowment (Insurance) Policy Method 8. Revaluation Method 9. Sum of the Digits Method. 1. Straight Line Method: This method provides for depreciation by means [...]