Archive for October, 2007

Credit card and the debt trick

The credit card is a wonderful piece of plastic to which even the Greenpeace would have no objections. The power of finance that the card gives the owner is lethal. But such lethal weapons are equally dangerous for the owner / operator.With all the glorious features that the credit card comes with, also comes some […]

Working capital concepts (finance)

There are two main types of working capital - net working capital and gross working capital. When the accountants use the word working capital they generally mean the net working capital, which is the dollar difference between the current assets and the current liabilities. It is a measure to the extent of which the firm […]

What is your motive of holding cash ?

There are three suggested reasons for individuals and companies to hold cash - transaction, speculative and precautionary.
Transactions motive
To meet payments such as purchases, wages, taxes and dividends, arising in the ordinary course of business.
Speculative motive
To take advantage of temporary opportunities such as a sudden decline in the price of a raw material or sudden […]

Are you part of the growth story - the logic behind investing in emerging economies

A lot has been said and written about the growth and development that is taking place in some of the Third world countries, notably, the developing nations like the BRIC - Brazil, Russia, India and China.
All of such investment reports leave the retail investors gasping and wondering as to how they could also own a […]

The world of plastic money - your checklist before you enter

Very often than not you would come across an advertisement declaring a cash back scheme on some of the credit cards. In most cases the financers offering such schemes are reputed market players with a huge trail of expertise in the cash back credit card business. And yes they are also very good in […]