Compounding can be defined as the process of the exponential increase in the worth and the value of the investment over a specific time period. The exponential increase in the investment is achieved due to earning interest on the principle amount as well as

Compound Interest

Compound interest can be defined as an interest that is earned on the principle amount and the interest that is previously earned on that amount. The Example of Compound Interest In order to understand the idea of the compound interest let’s assume that an

Negative Equity

Negative Equity can be defined as a situation in the business where the liabilities of a business increase its assets. Calculation of Negative Equity Negative Equity can be calculated by subtracting the worth of total assets of the company from its total liabilities. For

Business Model

A business modal can be defined as the strategy of a business through which it wants to earn revenue from the products and services offered by the business. There are different business modals followed by the companies depending upon the type of products and


A creditor can be defined as an individual, financial institution or a business entity that lends money to another entity under the agreement of repayment. Types of Creditors There are generally two types the creditors that can be defined as under:- Personal Creditors Real

Final Accounts

Final Accounts are the accounts that are prepared to find the final estimate of the profit and loss of a company for a certain accounting period. Final accounts are used to describe the final position of the business. Final accounts are the accounts that
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