Author: Beena Wilson

Effective inventory management and budget control are crucial for businesses to optimize operations, reduce costs, and ensure profitability. Here’s a strategy that combines both aspects to help you manage inventory efficiently while staying within budget: Demand Forecasting: Start by analyzing historical sales data and market trends to forecast future demand for your products accurately. Use… Continue reading An effective strategy for managing inventory and controlling your budget

The Indian economy functions with a banking system that plays a crucial role in channeling funds, facilitating transactions, and supporting economic growth and development. Here’s an overview of how the Indian economy operates with its current banking operations: Banking Sector Structure: India’s banking sector is divided into two main categories: scheduled and non-scheduled banks. Scheduled… Continue reading How the Indian economy functions with its current banking operations

The Capital Asset Pricing Model (CAPM) is a widely used framework for estimating the expected return on an investment based on its risk relative to the overall market. However, it has several inadequacies and limitations. Here are some possible solutions or alternative models that address these inadequacies: Consideration of Additional Risk Factors: Multifactor Models: One… Continue reading Capital Asset Pricing Model: Possible Solutions to its Inadequacies

Manipulating commodity markets can have significant and far-reaching impacts on future commerce, both in the short term and the long term. Commodity markets are essential components of the global economy, as they provide a mechanism for price discovery and risk management for various raw materials and resources. When these markets are manipulated, it can disrupt… Continue reading The Impact of Manipulating the Commodity Market on Future Commerce

Risk and return” is a fundamental concept in the field of finance that describes the relationship between the potential rewards (returns) and the level of uncertainty or variability (risk) associated with an investment or financial decision. This concept is central to understanding investment decisions and portfolio management. Return: Return refers to the profit or loss… Continue reading Risk and Return

The important forms of business organization include various legal structures that individuals or groups of people can use to operate and manage their businesses. The choice of business organization can have implications for factors such as liability, taxation, management, and ownership. Here are some of the most common forms of business organization: Sole Proprietorship: This… Continue reading The important forms of business organization

Financial forecasting is the process of estimating future financial outcomes and performance of a business or organization based on historical data, current trends, and various assumptions. It involves using quantitative methods and analysis to predict future revenues, expenses, cash flows, and other financial metrics. Financial forecasting is an important tool for planning, decision-making, and setting… Continue reading Financial Forecasting

Auditing is a systematic and independent examination of financial information, records, statements, and operations of an organization to ensure accuracy, transparency, and compliance with applicable laws and regulations. The primary objectives of auditing include: Verification of Financial Information: Auditing aims to verify the accuracy and reliability of financial information presented in the organization’s financial statements.… Continue reading Objects of Auditing.

Section 195 of the Income Tax Act, 1961, deals with the deduction of Tax Deducted at Source (TDS) on payments made to non-resident individuals or foreign companies. Under this section, when certain specified payments are made to non-residents, the payer is required to deduct TDS at the applicable rates before making the payment. The purpose… Continue reading Section 195 of the Income Tax Act, 1961

Accrual basis accounting is an accounting method that recognizes revenues and expenses when they are earned or incurred, regardless of when the actual cash transactions occur. In this approach, financial transactions are recorded as they occur, and revenues are recognized when they are earned, not necessarily when the payment is received. Similarly, expenses are recognized… Continue reading Accrual base accounting