To understand what the different types of securities are? Firstly we should know about what security is? The words security means safety or guarantee of any kind, which may be verbal, personal or in the form of any property. It is very essential for a creditor to secure his loan or advances through different securities. A security is a right possessed by a creditor in property or anything to convert the same into cash, if the debtor fails to refund the amount advanced with the interest.
Banking & Finance
Banking & finance both combine the study of modern banking and finance for business. Banking and Finance is a basic business subjects in which probably acquiring the matters of finance are discussed. Probably business acquired the business finance from the different banks and the study of such financing for business is known as banking & finance in business education. Today in banking & finance there is a enough scope and every year a lot jobs opened for youth.
The principles of note issue are classified into two classes. One opinion says that complete conversion of notes into gold bars is known as the “Currency Principle”. The second advocates the elasticity in the supply of money according to the needs of trade and commerce, known as “Banking Principle”. These two theories are discussed below in detail:-
Instead of asking about how to control deflation? Just go and explore in internet world, you will have a lot ways to control deflation. It is clear that deflation reduces the general price level which is due to decrease in output and employment. It is a set back to the rate of economic growth in the country. The government must take steps to correct the adverse situation.
There are a number of causes of deflation, but before talking about all these causes of deflation, it is also important to talk about deflation that what is deflation? How different authors define deflation: – Deflation is gradually decreased in the prices of general products and services and known as deflation. Different authors define the deflation in different words.
Today inflation has become the common problem of the world and almost every one talks about the root causes of inflation. It is clear that inflation is a matter of raising prices when the supply of goods and services is low than the demand for such items starts increasing. The increase in pricing is probably due to the increase in the supply of money than the production of goods and services. Thus it leads to inflation in the country. Increase in the supply of money is not only the single cause of inflation, there are a lot more causes of inflation, which directly or indirectly impact the prices.
To discuss Types of inflation, firstly we should know that what inflation is? Inflation is basically the quick movement in the general pricing level. When prices of the products go up with every passing day and income of the people started going down, then this situation leads to inflation. Sometimes increase in the demands of the products also lead to the inflation, because there is high demand and low supply in the market, which lead to inflation in the market. Increase in demand of the products is not only the single reason of inflation, there are a lot more causes of inflation, but let’s discuss the types of inflation first.
Promissory note is a simple kind of instrument of credit in which debtor himself makes a promise to his creditor to pay the amount of money at promised date. To make this document legal one, the revenue stamps are affixed according to the value of the promissory notes. We can define promissory note as “An instrument which can be in written shape by making promise to pay a specific amount on demand at a fixed date and time or unconditional order of a certain person or to carrying of the instrument”.
To know exactly what the functions of commercial banks are? Firstly we should try to understand that what commercial bank is? Commercial Banks are those institutes which deal with the money and engaged in performing the routine activities of banking business. Commercial banks are primarily established to earn profit. It deals with the funds of other. It takes money from one person and lends to another. They give fixed amount of interest while talking money from others and give to needy people and take a fixed amount of interest which is higher than previous one. So difference between both of them is actually the profit of bank. Along with this borrowing and lending money, there are a lot more functions of commercial bank, which play a vital role in the development of country and also give a lot benefits to the general public.
There are three different types of crossing and by crossing , we mean putting or drawing two parallel transverse lines on the front side of a cheque on upper left corner, with or without the use of the word like “& CO” “Not Negotiable”.
A cheque may be define as “An order which is unrestricted in written form signed by maker address to a specific bank with the direction to pay a certain specific amount to a specific person on demand”. There are various types of cheque, but moving towards the types of cheque, let’s talk about the essentials of cheque.