The role of corporate venturing in equity finance.
Reading Time: 4 minutesSpread the loveIntroduction It is also referred to as corporate venture capital (CVC). Introducing the aspect of corporate venturing as one of the most effective strategic entrepreneurial…
The Impact of Interest Rate Changes on Personal & Business Finances
Reading Time: 6 minutesSpread the loveInterest rates are concerned with the ferry environment and control many decisions made within the economy, by individual borrowers and lenders, companies, and governments. A…
Tax accounting and financial accounting: Types, differences
Reading Time: 6 minutesSpread the loveTax accounting and Financial Accounting are two similar terms as mentioned below: Accounting plays a crucial role as it works as support structure for the…
Stock SIP & Mutual Funds SIP: Advantages, Differences
Reading Time: 4 minutesSpread the loveIntroduction SIPs are disciplined investment strategies that offer investors techniques of building wealth over time given their regular small investment amounts. SIPs can be applied…
Static Budget Variance – Meaning, Importance, Calculation, Uses, Examples
Reading Time: 4 minutesSpread the loveWhen it comes to the financial management and accounting, static budget variance is vital to help understand a company’s performance to its planned targets. From…
SIP periodical growth chart: ₹10,000 monthly SIP in 30 years
Reading Time: 4 minutesSpread the loveOverview of SIP (Systematic Investment Plan) SIP can be termed as a disciplined model of investment; it is essentially a systematic investment plan. A fixed…
How Fundraising Valuations Work in Investment Banking
Reading Time: 10 minutesSpread the loveFundraising valuations are the process of computing the company’s value in monetary terms before and after a new investment round. It establishes a fair price…
Market Value,Importance, vs. Appraised Value, vs. Fair Market Value
Reading Time: 6 minutesSpread the loveFair market price is the price that the given property will fetch when sold in the market with both the buyer and seller willing to…
What Is IRR In Real Estate? vs. NPV, vs. ROI, vs. CAGR
Reading Time: 6 minutesSpread the love Internal Rate of Return (IRR) It is a capital budgeting technique to determine the net cash flows of an investment proposal. As many will…
What is Disposable Income?calculate,vs Discretionary Income
Reading Time: 7 minutesSpread the lovePersonal disposable income encompasses the total amount of income available for an individual or household expenditure after deducting central, state and local taxes couple with…
What is Deferred Revenue and how does it work?
Reading Time: 5 minutesSpread the loveAdvance payments a business receives for goods or services that will be supplied or performed in the future are referred to as deferred revenue, or…
What is asset allocation and how it Works? Strategies
Reading Time: 6 minutesSpread the loveAsset allocation is the modality of deploying an investment plan aimed at achieving the maximum risk/return profile by apportioning the proportion of each asset in…
What Is an Advance Payment in Accounting, and how it Works?
Reading Time: 6 minutesSpread the love Advance payment is making a certain payment earlier than is usual such as paying for a particular good or service while the actual receipt…
Long term capital gain (LTCG) and short-term capital gains (STCG) in stock market
Reading Time: 4 minutesSpread the love Introduction Capital Gain is the profit realized from selling an Equity or preference share of a listed company in recognized stock exchange in India.…
Types of budgets used in organizations: Methods, process
Reading Time: 10 minutesSpread the loveIntroduction Budgeting is defined as the plan to prepare a budget that shows the financial receipts and expenditure for a period. It will also be…
Understanding Standard Deviation,how it works: vs. Variance
Reading Time: 6 minutesSpread the loveWhat is standard deviation? The standard deviation is a single statistic measure which estimates the dispersion of the dataset. It is the measure of dispersion…
Negatively Correlated Assets & their benefits in portfolios
Reading Time: 8 minutesSpread the loveOverview As we pointed out, some assets can be negatively related in a portfolio and therefore, the concept should not be unfamiliar to investors. Then…
Lower Circuit & Upper Circuit of Stocks in stock market
Reading Time: 7 minutesSpread the loveSince the concept of investing has slowly been introduced into a much larger portion of the population, I am quite sure that many of you…
Generally Accepted Accounting Principles(GAAP) compliance
Reading Time: 5 minutesSpread the love Introduction to GAAP GAAP are, therefore, a standardized set of rules and practice for accounting and reporting financial statements. These principles facilitate comparability, reliability,…
Understanding Short Position in the stock market
Reading Time: 5 minutesSpread the loveAs observed within the fast paced and sometimes unstable environment of stock market trading it is vital that one looks into simple yet important factors…
Self-Attribution Bias: Types, Psychological drivers
Reading Time: 7 minutesSpread the loveINTRODUCTION SELF-ATTRIBUTION BIAS Self-attribution bias is one sort of cognitive error were study participants attribute success to personal ability or effort, but fault failure on…
Scalper: Popular Intraday Trading Strategy, advantage,risk
Reading Time: 4 minutesSpread the loveThe stock market is its world of strategies and people, every one of whom has been singing his own song to conduct operations. These participants…
Understanding stock market terms: Round Trip Trading
Reading Time: 5 minutesSpread the love ‘Round trip trading’, a term frequently mentioned in financial markets, means to purchase and exit similar financial asset in a short time. This idea…
Return on Invested Capital (ROIC:): Uses, Valuation Metrics
Reading Time: 4 minutesSpread the loveDefinition Return on Invested Capital (ROIC) defined as a profitability and efficiency of users to invested capital to generate return. There is common among investors…
Return on Capital Employed (ROCE):Calculating, Interpreting
Reading Time: 4 minutesSpread the loveBrief on Return on Capital Employed (ROCE) Return on Capital Employed (ROCE) is one of the business profitability measures that evaluates the rate of profitability…
Return on Asset (ROA)
Reading Time: 4 minutesSpread the loveReturn on Asset (ROA) is a financial analytical tool that shows efficiency of the company’s operation in terms of assets. This gives clues on how…
Quick Ratio / Acid Test Ratio: Formula,Example, Pros & Cons
Reading Time: 4 minutesSpread the love Overview of Quick Ratio / Acid Test Ratio Acid test ratio, used today is defined as quick ratio. This short-term solvency of a firm…
Understanding open position in the stock market
Reading Time: 4 minutesSpread the love The stock market is an active sector with numerous terms of explaining it which may be confusing to many people. In trading and investment…
Understanding Offsetting Transactions in the stock market
Reading Time: 5 minutesSpread the loveHedging transactions are the basic element of trading and investing processes and serve as a tool for risk control, position and portfolio management. These transactions…
Offset: Offsetting in Derivatives Contracts, examples
Reading Time: 5 minutesSpread the loveOffset is said to eliminate or minimize risks, liabilities, or exposures in one area through the compensation of gains, assets, or obligations in another. It…
Liquidity Coverage Ratio(LCR): Who Uses, Types, Calculation
Reading Time: 5 minutesSpread the loveINTRODUCTION TO LIQUIDITY COVERAGE RATIO (LCR) Liquidity Coverage Ratio (LCR) According to Basel III Accord for Liquidity Reporting, LCR is an essential measure defined to…
Contrarian Investing: Action plans,Uses ,Vs Value investing
Reading Time: 5 minutesSpread the loveContrarian Investors The contrarian approach pretty much means the direct opposite of the current popular trend, it proposes that investors should buy when others are…
Cash Conversion Cycle (CCC): How to compute?, uses, flaws
Reading Time: 4 minutesSpread the loveThe Cash Conversion Cycle (CCC) as a metric of financial performance concerns the time the firm takes to transform its resources in inventories and others…
Understanding Credit Card Fees: What to Watch Out For?Types
Reading Time: 6 minutesSpread the love Credit cards are indispensable financial instruments in modern society, offering convenience, rewards, and financial flexibility. However, with the ability to monitor and manage one’s…
Cost Driver, Types, significance in cost accounting
Reading Time: 5 minutesSpread the loveIntroduction Cost drivers are those factors which contribute to adding or reducing cost in any activity or process. However, they form a starting point for…
Business Continuity Plans (BCPs): Elements, Benefits
Reading Time: 8 minutesSpread the loveOverview It must be stated that BCPs are essential in any company. Anything that hinders the business activity for whatever period it takes leads to…
Additional Surveillance Measure (ASM) list Stocks explained
Reading Time: 6 minutesSpread the loveWhat is ASM? Additional Surveillance Measure( ASM) is a regulatory tool issued by stock exchange with participation SEBI (Securities and Exchange Board of India). The…
Types of no Income Verification Loans: examples: Benefits
Reading Time: 9 minutesSpread the love No-Income Verification loans are a specific financial product created for those clients who may have no documents to prove their income levels. These loans…
How Financial analyst use excel
Reading Time: 7 minutesSpread the loveFor financial analysts, Microsoft Excel is an essential tool. It is the useful program for evaluating financial data, creating models, and deriving to well-informed conclusions…
Understanding stock market term: Automated Trading System
Reading Time: 5 minutesSpread the loveTechnology has brought significant change in how financial markets function, and one of the innovations that stands out is the automated trading system. Such systems…
Accounts Payable Turnover Ratio: Formula, application
Reading Time: 4 minutesSpread the loveIntroduction The Accounts Payable Turnover Ratio is equally one of the most used, financial ratios that help control organizational efficiency in the management of their…
Multiple on Invested Capital: Unrealized vs. Realized MOIC
Reading Time: 5 minutesSpread the love What is MOIC? Furthermore, Multiple on Invested Capital (MOIC) is a financial ratio that the total return of investment is compared with the size…
Market Cycles: overview, How They Work, Types
Reading Time: 6 minutesSpread the loveCycles are most important concepts in the context of financial and business environment; they refer to the high and lows, typical for most markets. Market…
Market Capitalization: All you need to know about it
Reading Time: 6 minutesSpread the loveMarket capitalization or sometimes referred to as market cap is one of the simplest and most popular measures used to assess the magnitude and value…
Understanding ‘Long Position’ stock market: Strategies
Reading Time: 5 minutesSpread the loveEvery trade has its terminologies; this article seeks to explain some of the terminologies essential in the complex realm of the stock market. Among them,…
EPS Formula & Types of EPS-Earning per share explained
Reading Time: 8 minutesSpread the loveWhat is EPS? Earnings per share (EPS): It is defined as amount of earning that each outstanding share of common stock can earn. It is…
Top Forecasting Methods for Accurate Budget Predictions
Reading Time: 7 minutesSpread the love Budget Forecasting Budget forecasting is very crucial in any business and or organization to ensure proper planning, resource control and to achieve set organizational/…
Sophisticated Listed Option Strategies:Utilizing Volatility
Reading Time: 7 minutesSpread the loveListed options are undoubtedly one of the most flexible and responsive instruments available to traders. They afford the bellwether latitude in trading for hedging purposes,…