Accounting and Finance Questions

Debenture holder are those who provides long term loan at specific interest rate in term of cash and creditor provides only short term credit in term of cash for purchasing of goods.

Banks provide their clients with advice, assistance in arranging financing, and other services, such as access to trading on the markets, investment management, and risk reduction. Their main source of revenue is the fees they charge their clients for these services. Some banks have departments which invest or trade the bank’s own money to generate returns, though the extent to which they can do so has become more limited in recent years.

The different types of loans offered by banks are:

a) Unsecured Personal Loan

b) Secured Personal Loan

c) Auto Loans

d) Mortgage Loans

e) Small business Loans

NSF means - Not Sufficient Funds.

Because these exps are paid/payable to persons. person includes Sole Proprietor, Partnership Firms, HUF, Co; etc.Personal accounts always appear in B/S until it is transfered to expenditure by debiting to P&L A/C.

SLR Rate is the minimum amount or percentage of the deposits that a bank has to keep with the RBI in the form of money,gold or any other approved security. In simple terms it is the ratio between cash and some approved security.