Showing posts from August, 2012

What are precautions which a banker should keep in view before advancing the loan

No doubt the advancing of loan is also risk as well. If the loan is for a longer period then risk will be also …

Write note on bank draft ? What is the difference between draft and cheque

BANK DRAFT :- It is a written order by one branch of bank to another branch of the same bank to pay certain sum o…

Write a note on credit instruments

There are numerous ways by which the credit can be extended. In some cases credit instruments are used while in ce…

What is Gresham's law ? explain this statement Bad money drives good money out of circulation and Point out the different forms of its application and the conditions essential to its operations and also criticise on it

GRESHAM'S LAW :- Definition of Gresham's Law : " When bad money and good money both are circulating…

Describe the various kinds or types of credit

MEANING OF CREDIT :- When there are obligations to make payments at some future date the person to whom the futur…

Define cash reserve and give those factors which guide bankers to determine the size of cash reserve or How commercial banks reconcile liquidity of profitability

CASH RESERVE :- The liquid asset of bank is called cash reserve of bank. It is to be kept by the bank in order to mee…

Discuss the methods of credit creation and what are the limitations of credit creation

MEANING OF CREDIT CREATION :- The commercial banks create multiple expansion of their bank deposits and due to th…

Discuss the Important functions of credit or describe the importance of credit in the economic development of any country

Credit is neither capital nor its creates capital. The credit instruments only represent money and facilitate the …

Functions of the Commercial Bank or explain the role of commercial banks in the modern business

Samuelson has defined the functions of the Commercial bank in the following words : "The Primary economic…

Growth of Banking in Pakistan

The entire banking business was controlled by the non Muslims before the partition of the subcontinent. When Hindu…

Define the term Bank and explain in brief the evolution of banking

BANK ORIGIN :- There are different views about the origin of the word Bank. According to some people the word Ban…

Write a not on Asian Development Bank ( ADB )

ASIAN DEVELOPMENT BANK (ADB) :- Asian Development Bank was established on August 22, 1996. It was ratified by 15…

Write a comprehensive note on IDA

INTERNATIONAL DEVELOPMENT ASSOCIATION :- International Development Association was set up in 1960. This instituti…

Write a note on 1. IBRD 2. EFC

INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT :- The IBRD was set up in 1945 with 8 million dollars. Ob…

The establishment of International monetary Fund (IMF) constitutes an attempt to return to the gold standard or Discuss the relation between IMF and gold standard and important features of new system

No doubt gold has been given primary importance in the operation of fund but we can not say that it is a retur…

Write a note on the IMF or objective and functions of the IMF

INTERNATIONAL MONETARY FUND :- International Monetary Fund was established in 1947. Following were the main objective…

Comprehensive note or essay on the Islamic Development Bank

ISLAMIC DEVELOPMENT BANK :- The Islamic development bank is an international financial institution established on O…

Define devaluation, objects of devaluation, merits and demerits of devaluation, effects of devaluation or depreciation

MEANING OF DEVALUATION : It means to depreciate the value of domestic currency interms of foreign currencies. Fo…

What are the uses of index number

Index number is very useful in measuring the relative changes in the value of money. It is very helpful for the gu…

What is an index number ? How you will construct index number or How the changes in the value of money can be measured

MEASUREMENT OF THE CHANGING VALUE OF MONEY :- The value of money has opposite relation with the price level in the c…

Critically examine the quantity theory of money

QUANTITY THEORY OF MONEY :- Professor Taussing has defined it in the following words : "Double the quantity o…

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