Journal Entry for Interest on Capital

Every company is formed after the proprietor or the owner of the company has infused capital into the company and since the company has taken capital from the owner it pays the interest on capital following the business entity concept of accountancy. In the books of accounts also there will be adjustment entry for interest [...]

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Advantages and Disadvantages of Federalism

In a big company if all the work and decision are taken by the owner then it will be very difficult task and company won’t be able to function properly whereas if there are departments like marketing department, sales department, finance department and production department then there is segregation of work and each department can [...]

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8 Demand States

All companies which sell their products or services are dependent on the demand from their consumer for their products or services and if that demand cannot be assessed properly by the company then it can lead to disaster for a company and that is the reason why it is important for the company to know [...]

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Advantages and Disadvantages of Public Sector Banks

Public sector banks are those financial institutions in which government holds more than 51 percent stake and also has controlling power of the bank. In order to understand more about public sector banks let’s look at some of the advantages and disadvantages of public sector banks – Advantages of Public Sector Banks The first and [...]

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Difference between Monopoly and Oligopoly

In a city, there is usually only 1 government hospital and few big private hospitals so that 1 government hospital can be regarded as monopoly while few big private hospitals can be regarded as the oligopoly. Monopoly and oligopoly are 2 forms of market structures having different characteristics, in order to understand about both the [...]

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