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Depending on criteria for 'system'. Credit is currency in Capitalism.
In general; credit works under the premise of time value of money, and an understanding of a 'risk'.
The amount of 'credit' a system can hold would be maximized by the largest amount of credit obtained with out overexerting (being crushed by the weight of the debt).
In an ideal financial system credit would be used on 'one in a million' opportunities/deals/interests, and never used to fund Operations costs.
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Financial Information System?
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Which payment system is known as plastic money?
Credit cards and debit cards fall under this payment system. The term 'plastic money' comes from the fact that these cards are made of plastic and they function as cash substitutes in financial transactions.
What is The Financial Function?
financial function
Nature and function of credit?
nature and function of credit
When was TruMark Financial Credit Union created?
TruMark Financial Credit Union was created in 1939.
Financial Information System?
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What is the Difference between integrated and interlocking accounting system?
Integrated system is one which combines the cost accounting and financial accounting functions in one system of ledger accounts while an interlocking system has a cost ledger for the cost accounting function and a financial ledger for the financial accounting function.
Function of financial system?
The financial system exists to improve analysis of financials. With more information about the financial situation of the business, the more the business can respond to changes in the market.
Which payment system is known as plastic money?
Credit cards and debit cards fall under this payment system. The term 'plastic money' comes from the fact that these cards are made of plastic and they function as cash substitutes in financial transactions.
What is The Financial Function?
financial function
What are functions of financial system?
Functions performed by a financial system are :Saving function: Public saving find their way into the hands of those in production through the financial system. Financial claims are issued in the money and capital markets which promise future income flows. The funds with the producers result in production of goods and services thereby increasing society living standards.Liquidity function: The financial markets provide the investor with the opportunity to liquidate investments like stocks bonds debentures whenever they need the fund.Payment function: The financial system offers a very convenient mode for payment of goods and services. Cheque system, credit card system etc are the easiest methods of payments. The cost and time of transactions are drastically reduced.Risk function: The financial markets provide protection against life, health and income risks. These are accomplished through the sale of life and health insurance and property insurance policies. The financial markets provide immense opportunities for the investor to hedge himself against or reduce the possible risks involved in various investments.Policy function: The government intervenes in the financial system to influence macroeconomic variables like interest rates or inflation so if country needs more money government would cut rate of interest through various financial instruments and if inflation is high and too much money is there in the system then government would increase rate of interest.
What is the financial management function?
what is financial management function?
What is function financial management?
what is financial management function?
What is usually involved with credit reporting?
A credit report involves computing a person's financial status using a score system. Credit reporting combines a person's money, credit, loans, debt, etc.
Nature and function of credit?
nature and function of credit
What are the pro and cons of using egg credit?
Pros of using egg credit include obtaining financial information about oneself and helping manage finances online. Cons of using egg credit include not being connected to the three major credit bureaus and settling for a less informative financial tracking system.
What is financial functioning?
financial function
