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What meant by provision fund?

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Anonymous

15y ago
Updated: 9/17/2019

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What is provision fund?

A provision fund is a financial reserve set aside by an organization to cover anticipated future liabilities or expenses. It is commonly used in accounting to ensure that sufficient funds are available to meet obligations such as bad debts, warranties, or legal claims. By creating a provision fund, companies can better manage risks and ensure financial stability. This practice also helps in accurately reflecting the financial position of the organization in its financial statements.


What is a provision on a bond which provides for the systematic retirement of the bond prior to their maturity?

A provision on a bond that provides for the systematic retirement of the bond prior to maturity is known as a sinking fund provision. This provision requires the issuer to set aside funds on a regular basis to repay a portion of the bond issue before it matures, reducing the overall debt burden.


What is meant by diy super fund?

A diy super fund means a "do it yourself' superannuation fund. In other words, it is a retirement fund that is managed by an individual rather than a third party committee or individual.


What is the concept of target date funds?

A target date fund is a fund that is meant to be used at some date in the future. The best example of a target date fund would be a retirement fund to be used when one retires.


Would it industries come under the provision of employees provident fund and misc provision act?

Yes. All companies in India that employ more than 20 permanent staff come under the PF Act


What can a marketer do about the uncontrollable factors when making decisions?

The marketer should keep a provision for uncontrollable or unforeseen factors and maintain a contingency fund to meet the eventualities.


How do you use impoverishment in a sentence?

"Prior to his impoverishment, he had operated a real estate investment fund." "Her impoverishment meant that she and her children were left homeless."


What is meant by a no load mutual fund?

No load mutual fund means the fund does not charge any type of sales load as the name implies. However, this type of fund may charge fees that are not sales load like purchase fees and redemption fees.


What is meant by a Money Market fund?

Money Market fund is a mutual fund that one invests in short-term debt securities. Monet market funds are almost as safe as bank deposits but they will make more money.


How often a fund crystalise performance fee?

A fund typically crystallizes performance fees at predetermined intervals, which can vary depending on the fund's structure and strategy. Common intervals include annually, semi-annually, or at the end of a specific investment period. Some funds may also have a high-water mark provision, meaning fees are only charged if the fund's performance exceeds its previous peak. Ultimately, the specific terms are outlined in the fund's offering documents.


What were the two provision of the munich agreement?

One of them was that Hitler got the Sudentenland (sic), which was part of Czechoslovakia. It was ultimately meant as a peace pact.