Account means keeping track of something.Money is used as an medium of exchange by virtue of which nearly every good and service has an exchange rate in units of money called price.Due to which money is used as an unit to account for wealth, debts and other financial aspects. An account allows us to track…
As elaborated in article titled “Money”, money is an intermediate that makes commerce possible. For transactions to be settled in cash i.e immediate exhange of goods and services with money, it has to preserve its buying power, over the period it is acquired and when it is spent. Money can preserves its buying power if…
Money is a human social construct to solve the problem of commerce. Different people live in different conditions, they acquire different skills someone is a good farmer while some other person is a good shoe maker. No one is self sufficient and no one should try to be self sufficient because it leads to poor…
Now you have saved up money by being disciplined. But do you know your saved money is constantly loosing its value i.e. purchasing power. This is due to inflation, prices of things going up. Let us say in 2022 one kg of onions cost Rs 100 average price. The following year the average price of…
Most of us work nearly everyday to pay our day to day living expenses. We do not have capital(resources which earn income), we trade our labour for money. Money which we use to purchase other goods(tv, laptop, mobile etc.) and services(services of barber’s etc.) which we may require. Now if we rely solely on labour…
Public Provident Fund (PPF) is a small savings scheme backed by Government of India (GOI). It is essentially a debt instrument in which the investor is giving debt to GOI. As PPF is backed by the government the returns and principal are guaranteed hence it is a very low risk investment PPF salient features! PPF…