Introduction to Common Stock or Ordinary Share

Stocks or securities are generic terms that stand for instruments of ownership like shares, as well as instruments of lending like debentures, which are issued publicly. Just as a share represents the smallest unit of ownership, a debenture or a bond represents the smallest unit of lending.   Shares and debentures may be of various kinds. An ordinary share represents the form of fractional ownership in which a shareholder (one who holds ordinary shares), as a fractional owner, undertakes maximum entrepreneurial risk associated with a business venture.   This risk has several dimensions.   During the life of a business, in general, an ordinary shareholder receives dividends out of operating surplus.   This surplus is the residual from the revenue, after subtracting all the operating expenses, the interest charges on all kinds of borrowing, various taxes, and dividends due to the non-ordinary shareholders.   Now, various economic factors, government policies, Continue reading

Sampling Methods in Research

Sampling is that part of statistical practice concerned with the selection of an unbiased or random subset of individual observations within a population of individuals intended to yield some knowledge about the population of concern, especially for the purposes of making predictions based on statistical inference. Sampling is an important aspect of data collection. There are two basic approaches to sampling: probabilistic and non-probabilistic sampling. A probability sampling scheme is one in which every unit in the population has a chance (greater than zero) of being selected in the sample, and this probability can be accurately determined. The combination of these traits makes it possible to produce unbiased estimates of population totals, by weighting sampled units according to their probability of selection. Example: We want to estimate the total income of adults living in a given street. We visit each household in that street, identify all adults living there, and Continue reading

Everything You Need to Get Out of Debt

Everyone knows how easy it is to accumulate debt. we have debt because we require the financial assistance. Not everyone can utilize bootstrapping for everything, which is why we often turn to things, like loans and credit cards. However, these aren’t exactly the get out of jail free card some people think they are. While they can certainly be useful in a pinch, you have to understand that taking these out are another responsibility. You don’t have an infinite amount of funds on a credit card and you can’t keep borrowing loans. In this article, we’ll be going over everything you need to get out of debt. What Debt Can Do to People Before getting into how you can get out of debt, it’s important for people dealing with it for the first time to understand the positive and negative effects of debt on a your life. When you’re in Continue reading

Process of Human Resource Planning

Human resource planning is the responsibility of all managers. It focuses on the demand and supply of labor and involves the acquisition, development and departure of people. This is recognized as a vital HR function as the success of an organisation depends on its employees. The purpose of HR planning is to ensure that a predetermined number of persons with the correct skills are available at a specified time in the future. Thus, HR planning systematically identifies what must be done to guarantee the availability of the human resources needed by an organisation to meet its strategic business objectives. To achieve this HR planning cannot be undertaken in isolation. It must be linked to the organisation’s overall business strategy, and concentrate on the organisation’s long-range human resource requirements. Read More: Introduction to Human Resource Planning Process of Human Resource Planning Human Resource Planning  is a continuous process. The manager responsible Continue reading

Factors Affecting the Performance of Computer Networks

Networking is very important in the world of computer. Networking is the activity of connecting the computers to each other to make-up the computer network. In other word is the purpose of sharing data through linking of two or more computing devices together. Networks are built with a mix of computer hardware and computer software. A computer network is a collection of computers and devices connected together via communications devices and transmission media. There are few factors that affect the performance of computer networks. Those factors will reduce the quality of service of the network. The major factors are Latency, Packet loss, Retransmission, Throughput and Queuing delay. 1. Latency Latency is the kinds of delays typically incurred in processing of network data. A low latency network connection is one that generally experiences small delay times, while a high latency connection generally suffers from long delays. Although the peak bandwidth of Continue reading

Types of Interest Rate Risk

Due to the very nature of its   business, a bank should accept interest rate risk not by chance but by choice and when the bank has to take a risk as a choice, then it should ensure that the risk taken is firstly manageable and secondly it does not get transformed into yet another undesirable risk. As stated earlier, the focal point in managing any risk will be to understand the nature of the risk. This is especially essential for interest rate risk management. Interest rate risk is the gain/loss that arises due to sensitivity of the interest income/interest expenditure or values of assets/liabilities to the interest rate fluctuations. Types of Interest Rate Risks The sensitivity to interest rate fluctuations will arise due to the mixed affect of a host of other risks that comprise the interest rate risk. These risks when segregated fall into the following categories. Rate Continue reading