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LIFO – Last In First Out
The belief in LIFO costing method is based on the assumption that material issued to manufacturing department should carry the cost of most recent purchase, although the physical flow of…
History of Psychology
Psychology can be defined as the ‘study of mind and body’. The ancient man regarded ‘soul’ as something that was invisible and resided inside a person. He had his own…
Social Psychology
Social psychology is the scientific study of how people think, influence, and relate to one another. It is a comparatively younger discipline than the other disciplines of psychology – it…
Bond Valuation
A bond is a long-term debt instrument used by governments, corporations, and firms to raise debt financing. Most of the bonds have following three attributes generally. • Pay interest annually,…
Amortization
To capitalize upon the opportunities belonging to over the years the companies often fulfill funding requirements through long term debts from banks or financial institutions. These long-standing loans are repaid…
Statement of Cash Flow
Conventional financial statements i.e. income statement and balance sheet do not give true picture of the cash flows of the firm. Because income statement incorporates many non-cash expenditures and revenues…
Stock Valuation
The shareholders buy shares with the expectations of receiving dividends and increase in the value of the shares. A conscious investor buys shares when they are undervalued and sell them…
Kinds of Interest Rates
Just like a person working for some one expects remuneration or a landlord expects rent from tenant, the provider of funds also expects return. Two types of funds providers exist….
Average Cost Method
Average a simple but important tool for decision making which is used by almost every individual, businessman, and even institutions on daily basis. It would be hard to find a…
Financial Markets
In general terms financial market is a mechanism of delivering savings from the households, governments, and corporations to the users of these funds. Financial markets and financial assets exist in…
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