Finance

Financial services mean the services offered by financial and banking institutions. It also means money management by organizations like banks, investment banks, insurance companies, and stock exchanges. Financial services help individuals and organizations in the management of their finance-related problems. Financial services are intangible and customer-oriented. Financial services act as a link between the investor …

9 Types of Financial Services: What Are They? And How Do They Work? Read More »

A financial instrument is a financial contract between two parties. It is a document that represents an asset to one party and liability to another. It carries financial value and represents a binding agreement between two or more parties. It is used by investors to predict future value. Examples of financial instruments are bills of …

Types of Financial Instruments: 4 Main Types, Advantages, and Disadvantages Read More »

A financial market is an intermediary between the buyer and seller for trading assets like stocks, bonds, derivatives, commodities, and foreign exchange at a determined price. The financial market plays an important role in the economy by allocating limited resources. It helps in the mobilization of savings and determines the price of the securities. It …

Types of Financial Markets: 6 Importance Market Read More »

Introduction Generally, liability is anything that a company or an individual owes to another company or individual. International Financial Reporting Standards (IFRS) Framework defines liability: “A liability is a present obligation arising from past events, the settlement of which is expected to result in an outflow of resources embodying economic benefits.“ Liabilities can be divided …

Types of Financial Liabilities: Example and Explanation Read More »

Financial analysis is the process of assessing the company’s performance and making recommendations about how it will perform in the future. Financial analysts, for this purpose, use excel in carrying out their work to analyze historical data and make projections on future performances. There are twelve types of financial analysis, which are extremely important and …

Types of Financial Analysis: 11 Difference Types Read More »

Accounting helps organizations to achieve their goals by recording, summarizing, and presenting accurate financial information to its users. The following are the objectives of accounting that demonstrate the importance of accounting systems in any organization. Recording – Reliable accounting record forms the backbone of an accounting information system. The fundamental objective of accounting is to …

What Are the Ocjective of Financial Accounting? (11 Main Objectives You Should Know) Read More »

Introduction Often fair value and market value are used interchangeably and understood as the same thing; however, in reality, they are not identical. There is a difference between these two terms; however, the meanings of these terms may be very similar under some circumstances. To understand the difference between market value and fair value, we …

Fair Value Vs. Market Value: What Are the Main Different? Read More »

Introduction In the late 1970s, some of you might have read in history books that SEC was dealing with price level accounting and replacement accounting. These experiments died because they did not provide useful information. In theory, current values and fair values are better than historical costs. “Fair value is the price that would be …

Fair Value Accounting (FVA): Definition, Advantages, Disadvantages Read More »