Accounting and Finance Questions

The persons whose primary investing objective is to preserve capital while generating a tax-free income stream, then municipal bonds are worth considering.

Municipal bonds (munis) are debt obligations issued by government entities. When you buy a municipal bond, you are loaning money to the issuer in exchange for a set number of interest payments over a predetermined period. At the end of that period, the bond reaches its maturity date, and the full amount of your original investment is returned to you.

Types of Municipal Bonds :

Municipal bonds come in the following two varieties:

1. General obligation bonds (GO)
2. Revenue bonds

General obligation bonds, issued to raise immediate capital to cover expenses, are supported by the taxing power of the issuer.

Revenue bonds, which are issued to fund infrastructure projects, are supported by the income generated by those projects.

Both types of bonds are tax exempt and particularly attractive to risk-averse investors due to the high likelihood that the issuers will repay their debts.

The balance of an account is determined by the difference of credits amount and debits amount in the sheet.

APR means Annual Percentage Rate. Creditcards apr can be increased when you missed credit card payments.

Most financial investments are examples of Human risk type of risks. Since, we humans invest in any kind of financial investments on our own risk expecting profits.

Unearned revenue is the money or revenue earned for the product or the service that is not yet sold or provided to the customer. Hence, it comes under liabilities.

Payroll Giving enables employees to give to any UK charity straight from their gross salary (before tax is deducted), giving immediate tax relief of up to 40% on their donations

Contingent or temporary workers have little or no job security as their employment is based on a temporary
Contingent workers are not committed to the organization for a long run, as they know that they will be out of there in very short period of time