What is a balance sheet? A balance sheet is a statement of assets, liabilities and capital of an organisation as on a particular date. In short, it shows what a company owns and owes. Additionally, it shows the amount invested...

What is Annualised Return ‘Return’ is the yield that an investment generates over a period of time. It is the percentage increase or decrease in the value of the investment in that period. Returns on mutual funds are expressed in...

When a loan is repaid, the instalments have the interest component first and the principal amount is paid when the loan matures. As opposed to this, amortization is when the instalments contain both the interest component as well as the...

What is American Depositary Receipts ADR? American Depositary Receipt or ADR is a negotiable certificate of shares of a foreign company. The U.S. Bank that owns these shares issues an ADR against them. ADR may comprise a portion of shares,...

What is an Accounts Payable Turnover Ratio? The accounts payable turnover ratio is a short-term liquidity accounting ratio. It is an indicator that quantifies how quickly a company pays its suppliers. Accounts payable turnover indicates how many times a company's...

What is account balance? The account balance is the amount of money available in a financial repository. Such as a savings bank account at any given point of time. It is the net amount available after all debits and credits....