Finance & Economy

Understanding Strategy: Beyond Operational Effectiveness

July 18, 2024July 18, 2024 JupiterLeave a Comment

In today’s dynamic and competitive business environment, the distinction between operational effectiveness and strategy is crucial for sustainable success. While companies have historically emphasized flexibility, benchmarking, outsourcing, and honing core competencies, the true differentiation lies in their strategic positioning. Operational effectiveness, though essential, is not sufficient for achieving long-term competitive advantage. Operational Effectiveness: A Necessary […]

Understanding India’s Monetary Policy Framework and Objectives

July 13, 2024July 14, 2024 JupiterLeave a Comment

What is Monetary Policy? What are goals of Monetary policy and how these goals are achieved? Monetary policy refers to the use of monetary instruments by the central bank to regulate interest rates, money supply, and availability of credit with a view to achieving the ultimate objective of economic growth and price stability. The primary […]

The concept of Other Comprehensive income under IFRS with comparison with Ind-AS.

March 20, 2024March 20, 2024 JupiterLeave a Comment

Other Comprehensive Income (OCI) refers to revenues, expenses, gains, and losses that are not included in net income on the income statement, but instead are reported in a separate component of shareholders’ equity called accumulated other comprehensive income. This concept is part of a broader accounting framework that aims to provide a more comprehensive picture […]

Understanding Depreciation, Amortization, Impairment, and Depletion: A Complete Guide

March 20, 2024March 20, 2024 JupiterLeave a Comment

In the financial and accounting world, terms like depreciation, amortization, impairment, and depletion often come into play, especially when assessing the value of assets over time. While these concepts share similarities in that they all relate to the reduction of value of assets, they apply to different types of assets and under varying circumstances. In […]

Methods to find out the present value of a future sum of money or future ordinary annuity or any annuity due.

August 18, 2023August 21, 2023 JupiterLeave a Comment

1. Finding the Present value of a sum of money receivable in the future. The present value (PV) of an investment refers to the current worth of a future sum of money, taking into consideration the time value of money. In other words, it’s the amount that needs to be invested today to achieve a […]

Different methods of forecasting in economics.

August 17, 2023February 2, 2025 JupiterLeave a Comment

Economic forecasting involves the use of various methods and techniques to predict future economic trends, indicators, and outcomes. These methods vary in complexity and accuracy, and they are used by economists, policymakers, businesses, and analysts to make informed decisions. Here are some common methods of economic forecasting: Economic forecasting is a challenging endeavor, and no […]

Capital Assets pricing model (CAPM) , its formula and uses.

August 17, 2023August 17, 2023 JupiterLeave a Comment

The Capital Asset Pricing Model (CAPM) is a widely used financial model that helps investors and analysts understand the relationship between risk and expected returns for individual securities or portfolios of assets. It provides a framework for evaluating the required rate of return for an investment based on its risk characteristics relative to the overall […]

blue and yellow graph on stock market monitor

What is relation between interest rate and inflation?

August 17, 2023August 17, 2023 Jupiter1 Comment

The relationship between interest rates and inflation is complex and multifaceted, and it’s often discussed in the context of monetary policy, economic conditions, and financial markets. Here are the key points to understand about the relationship between interest rates and inflation: 1. General Relationship: In general, there tends to be a positive relationship between interest […]

Methods to find out the future value of an Investment OR Ordinary Annuity OR Annuity due or Incremental Annuity/SIP.

August 17, 2023August 21, 2023 JupiterLeave a Comment

1. Finding the future value of a one-time investment. The future value (FV) of an investment or cash flow represents the value of that investment or cash flow at a specified point in the future, taking into account the effects of interest or investment growth. The formula to calculate the future value is: Where: Here’s […]

All about EPS-95 pension Scheme and Option for higher pension under para 11(3) & 11(4) of EPS-95 with changes upto 01.06.2023

May 16, 2023August 17, 2023 JupiterLeave a Comment

What is EPS-95? section 6A(1) of THE EMPLOYEES’ PROVIDENT FUNDS AND MISCELLANEOUS PROVISIONS ACT, 1952 provides that- The Central Government may, by notification in the Official Gazette, frame a scheme to be called the Employees’ Pension Scheme for the purpose of providing for— (a) superannuation pension, retiring pension or permanent total disablement pension to the […]

Investment in GOLD

January 24, 2023February 2, 2023 Jupiter

Gold is the most secure investment in times of crisis due to its features like global acceptance, liquidity, prestige, demand, etc. In India, people prefer to buy and accumulate gold for marriages, worship, investment, customs, etc. The middle-income group also buys a small quantity of Gold during Festival Season and holds it for any critical […]

Financial System and its stages, components, and Functions.

July 1, 2021January 24, 2023 Jupiter

Financial System A “Financial System” is a set of interrelated activities working together to achieve some pre-determined goal. It includes- Markets Financial institutions Financial Instruments Financial services and The Mechanism that influences the generation of savings for investment, capital formation and growth. An efficient financial system plays a key role for an economy to operate […]

What is Balance of Payment? What is balance of Trade? What is current account deficit/ Surplus and capital account deficit / Surplus? What is forex reserve? What is Trade Deficit/ Surplus?

February 16, 2021January 24, 2023 Jupiter

There is many terms like Balance of payment, Balance of Trade, Current A/c Deficit, Capital account deficit, trade deficit, forex reserve which appears to be confusing to many students. Read the complete article to develop such understanding about these terms that you will never forget. Please refer following basic points before going ahead in learning […]

Decision Making and Risk Factor: How to take an economic decision considering the risk factor?

November 16, 2020January 24, 2023 Jupiter

Every person wants to make the best decision but every person may have a different risk attitude and our risk attitude play a major role in our decision making. On the basis of risk attitude, people can be divided into the following three categories:- Risk-Averse person:- A person who does not like to take the […]

Insights of Indian Economy before hit by COVID-19

August 13, 2020January 24, 2023 Jupiter

Insights of Indian Economy before hit by COVID-19 Parameters Value Remarks Area 3,287,263 sq km Area of india within 15200 km of land frontier and 7516 km of coastline. Population-2018 135.26 Crores (BPL-21.9%, approx 29 crores) India’s population is approx 138 crore in June 2020 which is approx 17.7% of total world population. Median age in […]

How a Package of Rs. 20 Lakh Crores going to make India – Atmanirbhar Bharat: First Phase-13th may 2020

May 13, 2020January 24, 2023 Jupiter

How a Package of Rs. 20 Lakh Crores going to make India – Atmanirbhar Bharat: First Phase-13th may 2020 We all know that Indian Independence day is celebrated on 15th August. We secured our independence on 15th August 1947 or we can say we were declared independent on 15th August 1947 when UK parliament passed […]

Coronavirus (COVID-19): How much harmful is corona for world economy? What should we do? What should investors do in this era of viruses i.e. Coronavirus.

March 18, 2020January 24, 2023 Jupiter

Coronavirus (COVID-19): How much harmful is corona for world economy? What should we do? What should investors do in this era of viruses i.e. Coronavirus.? There are many questions come to everyone’s mind regarding Coronavirus (Covid-19). Share market is facing one of the biggest fall due to corona virus. Hence investors are in panic. Everyone’s […]

Current position of Indian Economy w.r.t. Economic Survey of India for FY 2019-20 (presented in Parliament on 31-01-2020)

February 1, 2020January 24, 2023 Jupiter

Current position of Indian Economy w.r.t. Economic Survey of India for FY 2019-20 (presented in Parliament on 31-01-2020) Economic Survey 2019- 20 was presented in the Parliament by Finance Minister Nirmala Sitharaman on January 31, 2020. The theme of Economic Survey 2020 is- “Enable markets, promote ‘pro-business’ policies and strengthen ‘trust‘ in the economy”. The […]

Updates relating to GST return, Income Tax and SEBI.

August 27, 2018July 14, 2024 Jupiter

CBDT has released parameters for manual selection of Income Tax Returns for Complete Income Tax Scrutiny during financial year 2018-19 vide Instruction No. 04/2018 Dated: 20th August 2018. Niti Aayog has suggested the government to bring down import duty on gold from the existing level of 10 per cent and also slash the GST rate […]

Is it right time for the privatisation or consolidation of public sector banks?

March 20, 2018January 24, 2023 Jupiter

Current market share of public sector banks is 70% which is reducing very rapidly i.e. approximately 4% a year. After 5 year, Estimated the market share of public and private sector bank will be in the ratio of 50:50. Infosys chairman Nandan Nilekani said that market share of public sector bank may reduce to something […]

Fraud prone Indian Banking & RBI: Recent Steps to strengthen Banking.

March 11, 2018January 24, 2023 Jupiter

After recent scam of 12646 crores in PNB done through fraudulent issuance of letter of undertaking (LOU) , RBI have to take necessary steps to prevent such fraud in future. Market share of public sector bank is 70%, But after scam of 12646 crores in PNB the shares of public sector banks have lost their […]

Paytm received approval from SEBI to become Registered Investment Advisor.

March 7, 2018January 24, 2023 Jupiter

Business of E-wallet companies are affected by RBI guidelines for mandatory KYC in E-wallet. Last date for updation of KYC in E-wallet was 28th Feb. 2018. However those who have not updated KYC in their E-wallet are not going to lose their money in E-wallets. They are allowed to use money already available in E-wallet […]

Updates about PNB Fraud case of Rs. 12700 crore.

March 6, 2018January 24, 2023 Jupiter

Some Updates about PNB fraud case of Rs. Rs.12700 crore:- Axis Bank’s MD, Shikha Sharma and ICICI Bank’s MD Chanda Kochhar along with some senior officer of 31 banks summoned by Serious Fraud Investigation Office (SFIO) for questioning regarding extension of loans to Gitanjali Groups. Central Bureau of Investigation (CBI) has registered two cases in […]

RBI to Infuse Rs. 1 Lakh crore in the banking system in the month of March

March 5, 2018January 30, 2022 Jupiter

To manage additional demand of liquidity, RBI decided to Infuse Rupees 1 lakh crore in the banking system through special auctions in the month of March i.e. before close of the financial year 17-18. RBI decided to conduct four variable-rate term repo auctions in March 2018. The amount in each auction would be Rs 25000 […]

On 1st March 2018, Cabinet cleared "Fugitive Economic Offenders Bill 2018"

March 1, 2018January 24, 2023 Jupiter

The Cabinet today cleared Fugitive Economic Offenders Bill which targets big defaulters involved in economic crime of over Rs. 100 crores. “Fugitive Economic Offenders Bill 2018” has been brought to confiscation of properties of such fugitives. There will also be the provision to confiscate those assets outside India but co-operation of that country will be […]

On 1st March 2018, Cabinet approved setting up NFRA as regulator for Auditors

March 1, 2018January 24, 2023 Jupiter

Today on 1st March 2018, The Cabinet approved setting up of the National Financial Reporting Authority (NFRA), which will be an independent regulator for the auditing profession. After Rs 12700 crore fraud at Punjab National, Government find timing and reason to amend Companies Act, 2013 for setting up separate independent regulator for auditing profession i.e. […]

SBI & ICICI increased MCLR on 1st March 2018

March 1, 2018January 24, 2023 Jupiter

Today on 1st march 2018, SBI increased the one-year MCLR by 20 basis points (bps) from 7.95% to 8.15%. And ICICI Bank also increased the one-year MCLR from 8.2% to 8.3% and overnight MCLR rate from 7.8% to 7.95%. This decision of increasing MCLR is taken just one day after increasing the deposit rate by […]

Priority Sector Lending Targets for FY 2018-19 for Foreign Banks with 20 or more Branches.

March 1, 2018January 24, 2023 Jupiter

RBI announced Priority Sector Lending Targets for FY 2018-19 for Foreign Banks with 20 or more Branches in notification dated 1st march 2018. As per RBI notification, Lending target are:- Sub-target of 8% of ANBC (Adjusted Net Bank Credit) or CEOBE (Credit equivalent Amount of Off-Balance Sheet Exposure), whichever is higher to small and marginal […]

SBI increased Interest Rate for Domestic Term Deposits.

February 28, 2018January 24, 2023 Jupiter

Today on 28-2-2018, State Bank of India (SBI) increased retail deposit rates by 10 to 50 basis points across various maturity baskets. It may also be followed by other banks. With effect from 28th February 2018 the revised interest rate on retail domestic term deposit below Rupees 1 crore is as follows: 7- 45-day : […]

On 28-02-2018, RBI revised limit of "exchange traded currency derivatives".

February 28, 2018January 24, 2023 Jupiter

RBI revised limit of “exchange traded currency derivatives” without having to establish underlying exposure for resident in India and FPI.Currently, persons resident in India and FPIs are allowed position in USD-INR upto USD 15 million per exchange and positions in EUR-INR, GBP-INR and JPY-INR pairs, all put together, upto USD 5 million equivalent per exchange. […]

Update KYC in E-wallet before 28th Feb. 2018: RBI

February 25, 2018January 24, 2023 Jupiter

Update KYC in E-wallet as deadline is very close. As per RBI guidelines issued in October 2017 as revised, E-wallet companies must convert all the E-wallet or other instruments issued by them to full KYC by 28th February 2018. Full KYC made mandatory to keep them functioning in normal manner otherwise sever restrictions would be […]

On 23rd February 2018, Reserve Bank of India launched the Ombudsman Scheme for NBFC

February 23, 2018February 28, 2021 Jupiter

Good News for customers of NBFC like Bajaj Financial Services Limited, LIC Housing Finance, PNB housing finance, Indiabulls group, Muthoot Finance, Reliance Capital, Sundaram Finance, GIC housing Financial Services etc. as they will get expedite and cost-free resolution for their complaints. Reserve Bank of India launched the Ombudsman Scheme for NBFC on date February 23, […]

RBI constituted an Expert Committee to look into the reasons for high divergence observed in asset classification and provisioning by banks.

February 20, 2018January 24, 2023 Jupiter

In view of large divergences observed in asset classification and provisioning in the credit portfolio of banks as well as the rising incidence of frauds in the Indian banking system, RBI decided to constitute an Expert Committee under the chairmanship of Shri Y H Malegam, a former member of the Central Board of Directors of […]

Link your Adhaar with Various Financial products and mobile number before 31st march 2018

February 15, 2018January 24, 2023 Jupiter

On 15-02-2018, Government issued a notification to require all postal Life Insurance holder to provide their Aadhaar detail.The notification also makes Aadhaar mandatory for all new insurance policies that will be issued in the future. This notification does not specify any deadline for linking of Aadhaar with Postal Life Insurance policies. Constitutional Validity of Aadhaar […]

RBI issued Revised framework for Stressed Assets.

February 12, 2018January 24, 2023 Jupiter

On 12th Feb 2018, RBI issued a revised framework for the resolution of stressed assets providing for early identification & reporting of SMA (special mention accounts) and Timelines for referral under IBC (Insolvency and Bankruptcy code)2016. Download

Important Highlights & Tax Proposals of Finance Budget 2018-19

February 1, 2018January 24, 2023 Jupiter

Important Highlights & Tax Proposals of Finance Budget 2018-19 The Finance Minister, Sh. Arun Jaitley presented his fifth Union budget 2018 in Parliament today i.e. 01-02-2018. Following are important proposals made therein:- Direct Taxes Proposals No changes in Personal Income tax slab. No Changes in Limit of deduction u/s 80C. Benefit of exemption for withdrawal […]

Indian Accounting Standards (IND-AS): Whether applicable to your company or not?

November 24, 2017January 24, 2023 Jupiter

Indian Accounting Standards (IND-AS): Whether applicable to your company or not? After a long converging process of Accounting standards(AS) and IFRS, Ministry of corporate affairs has come up with new standards name as Indian Accounting Standards(Ind-AS) which sum of AS and IFRS. Hundred percent adoption of IFRS was not possible in Indian Scenario, hence Necessary […]

Highlights of Union Budget 2017-18

February 1, 2017January 24, 2023 Jupiter

Key Highlights of Union Budget 2017-18 Today on Date 1st February 2017, Finance Minister, Mr. Arun Jaitley presented Union Budget 2017 in parliament. Opening remarks of budget speech were: Massive war against black money has been launched. Government now seen as a trusted custodian of public money. We will focus on energizing youth to reap […]

Universal Basic Income (UBI): A substitute of social welfare schemes to reduce poverty

January 31, 2017January 24, 2023 Jupiter

Universal Basic Income (UBI): A substitute of social welfare schemes to reduce poverty What is concept of Universal Basic Income (UBI)? As per the concept of Universal Basic Income (also known as Unconditional Basic Income, Social Dividend, Citizen’s Income), the government have to pay a unconditional sum of money to every citizen on periodical basis. […]

Payment Banks: Revolutionising the Banking Sector

January 30, 2017January 24, 2023 Jupiter

Payment Banks: Revolutionising the Banking Sector In September 2013, the Reserve Bank of India constituted a committee headed by Dr Nachiket Mor to study Comprehensive financial services for small businesses. The committee submitted its report to RBI in January 2014.One of the key suggestions of the committee was to introduce specialised banks or ‘ Payment […]

UPI: Unified Payment Interface – A step of India towards Cashless Economy

August 27, 2016January 24, 2023 Jupiter

UPI: Unified Payment Interface – A step of India towards Cashless Economy RBI Governor, Sh. Raghuram Rajan (born 3 February 1963) who became governor on 04th September 2013 by replacing Sh. D. Subbarao, now going to be replaced by Sh. Urjit R Patel on date 04th September 2016. Sh. Urjit R. Patel (born 28 October […]

Payment of Bonus Act, 1965 Amended to increase Minimum Bonus

July 18, 2016January 30, 2022 Jupiter

Payment of Bonus Act, 1965 In India, Payment of bonus is governed by “Payment of Bonus Act, 1965” as amended from time to time including latest amendment act of 2015 i.e. “Payment of Bonus (Amendment) Act, 2015 (applicable w.e.f. 01.04.2014)” . Key points regarding payment of bonus are given below: Applicability of Payment of Bonus […]

Provident Fund in India, Its Taxability and TDS on Provident Fund

June 14, 2016January 24, 2023 Jupiter

Provident Fund in India, Its Taxability and TDS on Provident Fund What is the Provident Fund(PF)? Provident Fund is a retirement saving scheme in India that is similar to the United State’s Social Security program. Its purpose is to provide financial support to members. To understand the scheme of the provident fund, we can discuss […]

Minimum Wages Rate in India Vs. USA

May 18, 2016January 24, 2023 Jupiter

Minimum Wages Rate in India Vs. USA Below is some short analysis of comparison of minimum wages rates in India and USA: Minimum wage in USA In USA, there is dual minimum labor wage system: Federal Minimum Labor Wage. State Minimum Labor Wage. In the 50 states and one DC (District of Columbia), separate minimum […]

What is difference between Pledge, Mortgage and Hypothecation?

May 18, 2016February 28, 2021 Jupiter

What is difference between Pledge, Mortgage and Hypothecation I have received some queries asking the difference between Pledge, Mortgage and Hypothecation. This question is normally asked in interviews in banking and even bankers are found confused about the little difference between these terms. To understand the difference between these terms first find the similarity in […]

India-Mauritius Tax treaty revised to curb Black Money

May 17, 2016January 24, 2023 Jupiter

India-Mauritius Tax treaty revised to curb Black Money On date 11-05-2016, India getting Mauritius to sign a revised India-Mauritius tax treaty after a decade-long effort since 1996, was an attempt to curb black money generation. Under the revised treaty, from April 1, 2017, companies routing funds into India through Mauritius will have to pay short-term […]

Basics of Letter of Credit(LC)

May 16, 2016January 30, 2022 Jupiter

Basics of Letter of Credit(LC)/Documentary Credit What is Letter of Credit? How does it work? What are different Types of LC? Is there any law governing LC? What is Documentary Credit? Importance of LC in International Trade. These are the questions ringing in the mind of people starting new business or people dealing with finance […]