Tuesday, January 12, 2010

FINANCE COMPANIES

A finance company is a kind of finincial finincial institution. It provide loan to big investor. Finance company acts as a mediator between saver and the investor in one hand and between th big financial institution and debtor in other hand. Finance company collects the fund and keep in deposit and gives loan to the investor . It provide loan against the security.


Finance companies provide hire purchase loan , they provide the capital wise good in installment loan like motor , car, motor cycle, TV and others durable usable assects and goods. The finance companies take loan from the big financial institution. Generally, the finance company give high rate of intrest rate in deposit and provide diffirient facilities and gifts like insurance policy. The small saver or investor deposit the amount in finance companies.

FINANCIAL INSTITUTION


Finincial institution is not a bank, taking loan from certain institution,accepts deposit and invests in hire purchase. All finincial institution create the finincial property. Finincial institution exit in all economic system which cause the loan to be taken and given , acts as intermediary between the saver and investor. Insurance company,bank,industrial development corporation , provident fund , pension fund e.t.c are some examples of financial institution.


The activities of the finincial instititions have more important role in economiccondition like nepal. It is difficult to imagine the development of any country without the development of financial institution. The institution are inspired with the objective of gaining profit.Finance companies are established with the objective of collection th capital scattered in the country with the medium of non-banking activities. In Nepal , there are so many others financiaeconomic development of the country.l institution operating with the objective of gaining profit and promoting

FINANCIAL MANAGMENT

The term financial managment consist of two words financial and managment, the term financial means deal with the money. So financial managment means the managment of the matter that deal with the money is known as financial managment.Financial management entails planning for the future of a person or a business enterprise to ensure a positive cash flow. It includes the administration and maintenance of financial assets. Besides, financial management covers the process of identifying and managing risks.

The financial managment deals with assects of the organization and the expenditure. So the term financial managment is very important in today business.Without the financial managment the assects cannot be handled so for handling of assects financial managment is necessary. The necessary of the financial managment is common in every fields.The primary usage of this term is in the world of financing business activities. However, financial management is important at all levels of human existence because every entity needs to look after its finances.

BANKING FINANCE



Bank is financial institution which deals with the accepting of the depositing from the people and granting loan to needy person against the security. Bank helps in the finance system of the economy. The bank gives intrest on the deposit and provide loan and takes interst which helps to balance the finance system. Banking finance is the widely used term that deals with the transaction of money.



Bank also provide loan to needy for hire and purchase of diffrient machines and equipment such as car, taxi,motorbike,washing machine and others with the collection of the deposit. In Nepal banking system helps to uplift the standerd of life of the poor people by providing loan. Banking helps to collect the deposit and grant the loan.So bank is the most important institution involve in finance of the country. In finance, the financial system is the system that allows the transfer of money between savers and borrowers. It comprises a set of complex and closely interconnected financial institutions, markets, instruments, services, practices, and transactions.Financial systems are crucial to the allocation of resources in a modern economy. They channel household savings to the corporate sector and allocate investment funds among firms; they allow intertemporal smoothing of consumption by households and expenditures by firms; and they enable households and firms to share risks.

FINANCE SYSTEM

Finance generally deals about the money. In Nepal for controlling the finance system seprate minister is created known as finance minister of nepal.This ministery controls the income and the expenditure of the government which is known as the budget system. The finance minister makes the budget dealing about the income and what amount of money should be spent in various sectors such as education,transportation,food and others.
The finance system of Nepal is very poor because the budget is made more than the income of the country an some percent is accepted from the foreign donar and foreign country.The budget is made at the at the end of the fiscal year showing all the work progress and the total expenditure and the remaining amount . Due change in government the work esimated work is incompleted and the amount is wasted and corrupted.So the finance system is very poor and needs to improve by the government.

Sunday, January 10, 2010

ACCOUNTING FINANCE

There is a great important of finance in accounting.The account deals with he various receipt and payment of money.Receipt of money is related to infiow of the money which is recorded inthe debit side of the accounting and payment of the money is related to out flow of the money so it is recorded in the credit side of accounting.Accounting is used in all kinds of the organization which deals with the finance i.e records receipts and payment.
For the managment students accounting finance is the most important subject matter that deals with the managment of finance. Finance in the accounting play a vital role for the development of the organization.So finance in accounting is very important for calculating the actual inflow and outfiow of money.

FINANCE

The term finance in general term we understand about is it deals with the money.It is used in our everyday life, in organization and so on.In our daily life it deals with the money. In general we say that the fimancial situation of his or her is weak or strong. In organization dealfinance trees with the receiving and giving of the money generally term as finance. The organization stability depends upon the financial situation. So finance deals with the money matter. We deals with the various account for finance in the organization known as financial accounting.The term that deals with the managment of the finance is known as financial managment.It is the wide subject matter covering the large area. The economic condition of the country depends upon the finance of the country.

Finance in the banking and insurance are the most known subject matterrelated to finance. The coucoinntry without finance is impossible because the econoimic condition of the people as well as country depends upon the finance.The national income and per capita income is also deals with the finance of the country. So it is broad subject matter related with the financial matter. Financial condition depends upon the infiow and out flow of the money.If there is high inflow and less outfiow of money then financial condition is strong and viceversa.