Definition: Trial Balance is a statement that assembles the balances of all ledger accounts in a definite format. It records both debit balance as well as credit balances from the ledger accounts, including cash and bank balances on a stated date. It is inclined with the purpose of testing the analytical or arithmetical accuracy of the books of accounts of a business. Content: … [Read more...] about Trial Balance
Planning
Definition: Planning is a process of developing strategies for accomplishing the pre-determined goals of the company. It is an essential aspect of any business as planning a future adds value to the business. Planning focuses on both an individual or a group target. Efficient planning flourishes the business and encourages the personnel to work effectively on targeted … [Read more...] about Planning
Business Plan
Definition: Business Plan is an outline of a business project in a written form, i.e., a summarized structure of a scheduled business which includes all the details of business relating to finance, marketing, etc. For running a smoother business, there is no alternative other than making an efficient business plan. However, in various sectors, it can be called with distinctive … [Read more...] about Business Plan
Organizing
Definition: Organizing is one of the most prominent function of management that aims attention at assigning and organizing human as well as other financial resources efficiently to carry out the plans of the organization successfully. It also involved in constructing, establishing, and managing working relationships and requires the planning of tasks and an assorted way to … [Read more...] about Organizing
Short-Term Financing
Definition: Short-Term Financing is a need for money for a short period of time, i.e., less than a year. It is one of the primary function of finance that manages the demand and supply of capital for an interim period, and these funds can be secured or unsecured. To use such funds total financing funds should be driven by the company, and the company gets directed by the … [Read more...] about Short-Term Financing
Financial Ratios
Definition: Financial Ratios are the ratio amidst two values from the company’s financial records. These ratios are used to evaluate the true and fair position of the company in the market. Various standard ratios are set under this head for measuring the company's status in the market, which is applied by the director, shareholders or the borrowers of the company to analyze … [Read more...] about Financial Ratios
Commercial Bank
Definition: Commercial Bank is the banking platform for the general public and is described as an institution whose primary business is to act as an intermediary for the purpose of settlement, i.e., receiving deposits and giving loans. These banks in India are formed as joint-stock firms and recognized as banking firms. Content: Commercial Bank Classification of … [Read more...] about Commercial Bank
Company Auditor
Definition: Company Auditor is an individual appointed for preparing an independent audit report of the company. They can be either appointed by the company’s Board of Directors, Shareholders, Central Government or Comptroller and Auditor General of India (C&AG) accordingly. An individual must have expert knowledge and a practising certificate from the Indian Institute of … [Read more...] about Company Auditor
Balance Sheet
Definition: Balance Sheet is the final statement of the financial report prepared after trading and profit/loss account of a company. It shows the company's exact financial position at the end of the financial year after evaluating the true and fair value of all the assets and liabilities of a business. In short, it is the basic statement of the company that examines the … [Read more...] about Balance Sheet
Consumer Price Index (CPI)
Definition: Consumer Price Index or CPI is the universal measure used for estimating the general price level of the goods and services produced in any nation. Every month the Bureau of Labor Statistics (BLS) computes and report the Consumer Price Index. It is a calculation of the accepted price paid by the metropolitan as well as rural users for a market basket of consumer … [Read more...] about Consumer Price Index (CPI)