Financing Arrangements

L/C-Letter of Credit includes the following: B/A-Banker’s Acceptance T/R-Trust Receipts C/A-Cash Advance D/A-Document Acceptance D/P-Document Against Payment Running a business may involve the use of trade facilities and credit facilities. To utilize these facilities, many documents must be prepared and submitted to lenders for various screenings. As stated in the article titled in Adequate Bookkeeping…

Personal Financial Statement (PFS) is composed of the following: Statements of Financial Condition Statement of Changes in Net Worth Financial institutions, insurance companies and landlords/property management companies often ask to submit PFS to consider financial conditions of applicants. There is no standard form for PFS.    Thus, in many cases PFS is prepared by entering the information…

Adequate bookkeeping is done by the following: Hard copies (paper documents) of unordinary transactions as well as on-going and routine transactions of a company should be kept Documents are to be divided into similar transactions or categories and kept together Correct information from documents must be recorded in accounting books periodically Firstly, adequately recorded books…