Segments in Stock Market : Equity Market or Spot Market Derivatives or F&O are divided into 2 parts.. Futures Options (Call and Put). The contracts are created by Option Writer. In this article, we are looking into the happening of trades in the Options segment/Options market. Options Trading : It is trading in 2 types of Options. Call Option : Right to Buy Put Option : Right to Sell When the person buys an Option, it means someone sells the same. Either it is Call or a Put Option. Option…
Continue Reading.....Depreciation | Meaning and its Greed for use
What is Depreciation? When an entity acquires a Capital Asset, it will be a Balance Sheet Item. There is wear and tear of an Asset in use and results in a reduction in the value of the same. The deduction is in the form of Depreciation and is available over the life of that respective Asset. The deduction is allowed in the form of allowance every year, called Depreciation. In brief, depreciation is a Capital Allowance towards Fixed Assets and allowed as a deduction from the Revenue/Income before arriving at…
Continue Reading.....Cash Flow Statement
What is a Cash Flow Statement? It is also a financial statement that shows an inflow and outflow of Cash and Cash Equivalents. A Cash Flow statement is like a tool in the hands of users to know the sources and uses of Cash and Cash Equivalents of an enterprise over a period of time from various activities of an enterprise. Methods of calculation of the Cash flow statement. ⇒ Direct Method of calculation of cash flow statement The company receives & pays the cash in day-to-day business. The…
Continue Reading.....Tax Audit | Future and Options Trading
What is Tax Audit and Future and Options Trading? Tax Audit is defined under section 44AB of the Income Tax Act. Click here for the full text of this section. Future and Options Trading is also called derivative Trading. Please click here for a brief explanation. Every Trader trading in Future and options is been told to get his accounts audited before filing his Income Tax returns. I saw some traders are not filing the Income Tax returns in case of Losses & lose the benefits of carrying forward of…
Continue Reading.....Income Tax Refund Status
How to check the Income Tax Refund Status? With the link given in the below post, you can check the status of the Income Tax Refund. The income tax return filed may be with the refund or without the refund claim. When the return gets processed, an assessee gets an intimation thereof. If there is a refund claim in the calculation, it will not get credited to the given Bank account of an assessee. But sometimes you won’t be knowing the status thereof. Sometimes when you file a return of…
Continue Reading.....Deposit Interest Calculator
Calculation of Interest on Fixed deposit is made easy with this Free Deposit Interest Calculator. You can use this for calculating the interest on multiple deposits for self-use. For making an Interest Accruals as on 31st March every year also, this calculator can be used. The file contains an example of sample calculations. The base of Deposit Interest Calculator : Normally in Banks, FD Interest / Interest on Fixed Deposit gets compounded on a quarterly basis (June, September, December, and March). The example is also given on the same principle.…
Continue Reading.....Write off | Write off debt
What is Write off? In simple, Write off is a process of reducing non-recoverable balance lying on the Asset Side of the Balance Sheet. The write-off in Accounting will happen by Debiting the Expense & Crediting underlying Assets, of which value is getting reduced. Write off Debt In Business / Profession, several transactions took place in regard to Purchase & Sales. Usually, the Sale of Goods or Supply of Service is on credit. All the Credit Sales are recorded as Receivable on the Asset side of the Balance Sheet. In…
Continue Reading.....What is Share | Share Trading | Futures and Options Trading
What is Share A Share is an instrument in the form of a Share Certificate. A Share is a Share in the Share Capital of the Company. And a person holding a Share is a Member/Stake Holder of that Company. The Shares are traded in the Share Market, viz. BSE, NSE, NYSE, etc. Company issue shares initially in Initial Public Offer (IPO) as a public offer. It is also called a Primary Market. Sometimes company requires additional share capital issue shares again. Since this issue is not a 1st-time issue…
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