Definition: Bancassurance is a convergence of two words, banc + assurance, which was coined in France in the year 1980, to refer to an arrangement between the bank and insurance company wherein the insurance company markets or sells its products and services to bank's customers. In bancassurance, the bank act as a corporate agent to sell life insurance and general insurance … [Read more...] about Bancassurance
Business Finance
Definition: Business Finance refers to that area of finance which deals with money and credit used in the business and how the money is raised. It is all about estimation, arrangement, and application of funds so that the business has sufficient cash to carry out operations effectively and efficiently, without any interruption. It involves activities like planning, raising, … [Read more...] about Business Finance
Career Planning
Definition: Career Planning refers to the organized process wherein the candidate establishes goals for his career ascertains various means to reach these goals like undergoing work education, training, and developmental exercises to get proper direction, timing, and sequence. In simple terms, career planning refers to the way an individual plan's their life's work, by … [Read more...] about Career Planning
Retail Banking
Definition: Retail Banking is a form of commercial banking wherein service is provided to the retail (individual) customers for non-entrepreneurial purposes. In banking, the term 'retail' signifies, that the consumer avails banking products for personal use, wherein the consumer is the customer of the bank and the products are the services that a bank offers to its customers. … [Read more...] about Retail Banking
Channels of Distribution
Definition: The word 'distribution' means the allocation of something to its recipients. Hence, the term, 'channels of distribution refers to the various mediums used for the purpose of distribution. Channels of Distribution or Distribution Channel can be defined as the path taken by the good or service when they move from manufacturer to the end consumers. The movement of … [Read more...] about Channels of Distribution
Cost Centre
Definition: Cost centre can be understood as a site (sales area, or department), a person (salesman, or machine operator), an item of equipment (delivery vehicle, machinery) or a combination of these, for which cost is determined and used to control the costs. It implies that segment of the organization, that helps in making its appropriate division for the purpose of product … [Read more...] about Cost Centre
Double Entry System
Definition: Double Entry System refers to the system of bookkeeping that is prevalent at present. According to this system, every transaction has equal and opposite effects, in a minimum number of two accounts. For Example: Suppose a firm purchased a laptop for cash Rs. 70,000. The two aspects of this transaction are that the amount of cash is reduced and assets, i.e. … [Read more...] about Double Entry System
Reserves
Definition: Reserve, as the name suggests is a part of undistributed profit retained in the business so as to provide for specific future needs like growth and expansion, or to meet any known or unknown expenditure or contingency, liability, or reduce the value of the asset. This means that profit is kept in the business and not distributed otherwise, which helps in future … [Read more...] about Reserves
Provisions
Definition: Provisions refer to the practice of retaining an estimated fund out of the profit by the firm so as to cover an uncertain anticipated loss or to reduce the value of the asset in the future. It is a liability whose time of occurrence and the amount is not known. Liability here means liability for expenses. The funds are set aside for a particular purpose only and it … [Read more...] about Provisions
Source Document
Definition: Source Document is the root document that bears the essential information related to the business transaction. When a business transaction takes place, a piece of written, printed, typed or electronic trail is generated which stores data relating to the transaction and acts as a formal or official record. This document is the source document. Basically, these … [Read more...] about Source Document