Time Value of Money The time value of money refers to that there are greater benefits to receive money sooner than later. Money that you have in hand today can be invested in earn a positive rate of return, producing more money in tomorrow. Because of that, a dollar is worth more than a dollar in the future.
Bank The bank is a financial institution that keeping, lending and exchanging of money.It collects surplus of money of the people in the form of deposits and gives it to others in the form of loans.It is called lifeblood of money. According to W. Hock, "The bank is a financial institution which creates money with money." From the above of the discussion, we can determine the following features of the bank: ü Bank is a financial institution. ü It is the trader of money and loan. ü It collects money from people in the form of deposits. ü It gives money in the form of the loan. ü The source of profit of bank is interest. Functions of bank There are two types of function of the bank.These are- 1) Primary Functions 2) Secondary Functions Primary Functions of Bank The primary function of a bank also known as banking functions.They are the main fun
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