When a company borrows money from a bank or sells bonds, it is called

Q: Loan structuring is the process of designing a loan to satisfy the financing demands of a business…

A:

Q: In a commercial bank, interest rate set for customers are the bank's assets. loans disbursed to…

A: Assets are owned by the bank whereas liabilities are to be paid by the bank. The detailed…

Q: prepare a Bank Reconciliation Statement.

A: Bank reconciliation statement is the statement which is prepared at the end of the period in order…

Q: What does liabilities mean for the balance sheet of any bank? Explain briefly.

A: Disclaimer: “Since you have asked multiple questions, we will solve the first question for you. If…

Q: This is the PRIMARY FUNCTION OF COMMERCIAL BANKS  TRUST FUNDS SAFE DEPOSIT BOXES EXTEND CREDIT…

A: 1.Trust Fund is an entity that holds property on behalf of someone 2.Safe Deposit Boxes means…

Q: Incorporate the following data into Bank X's revenue statement. Each item should be labelled and…

A: Financial Statement: financial statement is an organized information about the financial position…

Q: What is the purpose of the Manual of Regulations for Banks (MORB)

A: MORB stands for Manual of regulations for banks is nothing but an authoritative codifications of…

Q: The type of deposit account preferred by business organizations is: Current deposits Savings bank…

A: Bank offers different types of accounts named as savings, current overdraft, and many others…

Q: Explain how will you analyze Financial Statements of a Bank.

A: Bank financial statement  Although banks' financial statements generally follow a similar format to…

Q: Explain the difference between how you would characterize bank deposits and loans as assets and…

A: Balance sheet: This financial statement reports a company’s resources (assets) and claims of…

Q: Every deposit accepted by the bank constitutes: a. A credit on the part of the banker towards the…

A: Deposit: It is a financial term which means money held at bank.

Q: What is the use of a bank reconciliation statement

A: BRS refers to bank reconciliation statement. It is a statement prepared by various organisations or…

Q: when a company establishes a credit line with a bank, it is the same as borrowing from the bank True…

A: Credit line is similar to taking a loan but in credit line loan is taken on a regular basis. There…

Q: The main financial liability of private banks is; 1, deposit 2, loans 3, bank bills 4, equity…

A: The liability is referred as the amount owed by an individual or a company. It is settled throughout…

Q: banks sources of funds include all of the following except deposits  bank capital  borrowings…

A: Every business have two sources of funds. They are : 1. Sources of funds  2. Application…

Q: When a company earns interest on a note receivable or on a bank account, the debit and credit are as…

A: Note Receivable:-It is a promissory note where the written promise to pay the amount at some future…

Q: effect to asset, liability and owner's equity if the company repays the bank loan

A: Bank loan is the amount borrowed from the bank. Upon repayment of bank loan, the bank loan account…

Q: A company repays its bank borrowings.  The entry to record that transaction should be Group of…

A: Borrowing means where business taken loan from outsider to be used in business and repaid later.

Q: What is bank reconciliation and how do l prepare a bank reconciliation statement

A: Answer is provided as follows:

Q: Write an Executive Summary of Analyzing the lending process of a financial institution (Bank/NBFI).

A: Financial institutions, also known as banking institutions, are businesses that function as…

Q: All the following are assets for commericial banks exept: A) loans B)cash C)Deposits…

A: A commercial bank is a type of financial organisation that handles all activities linked to…

Q: What is the primary asset of any bank? Select an answer: checking and savings accounts investments…

A: Primary Assets - For a Bank, assets are kind of financial instruments that banks is holding or where…

Q: Describe the nature of banking. What are the functions of banks? Give

A: Banking refers to a broad range of financial institutions that hold funds for individuals,…

Q: A" borrowed money from bank; this transaction involves which one of the * ?following accounts Cash &…

A: Solution: Borrowing money represents cash has been taken for a loan. It involves cash inflow and…

Q: .Which of the following transactions affects the total value of liabilities of a firm? Goods…

A: Solution: Transaction that affect total value of liabilities of a firm, is the transaction that…

Q: What are bank assets used for?

A: Standard Disclaimers“Since you have posted a question with multiple subparts, we will solve first…

Q: Which of the following is a non-depository financial institution? savings bank commercial bank…

A: Financial market consists of many types of financial institutes. There are two types of financial…

Q: deposit function, the bank is the _____ and the depositors are the ______ a. drawee - payees b.…

A: Banks do many function for customers and the one of the main function is the deposits made by the…

Q: How is a line of credit issued by a bank similar to a credit card?

A: Line of credit is the amount that bank or any other financial institution has allowed to lend to the…

Q: Describe about the bank loans.

A: Liabilities: The claims creditors have over assets or resources of a company are referred to as…

Q: The term ‘loanable funds' refers to: a. only those funds loaned by one bank to another bank. b. only…

A: Loanable funds is that financial term that refers to sum total or aggregate of all sums of money…

Q: The accounting treatment of Discount on bill discounted is: a. A current liability b. A current…

A: The earnings which are earned but not received are the accrued revenue for the business. The…

Q: Choose the function and service of a bank in which Bank Purchases and sells securities, shares and…

A: A bank provides different functions to its customers along with core banking services and some…

Q: Can you explain the revenue cycle and expenditure cycle of banks using narrative description.

A: Revenues and expenditure accounts are created by the non-transient entity to determine the cost of…

Q: Lending money for a bank it will be considered as an:

A: The Importance of Character   Chief on the rundown is character. doesn't believe you or believe…

Q: Explain the relationship between a payor bank and its customers.

A: Introduction: Payor bank can be defined as a bank which is the drawee of a draft.

Q: A checking account is: OPTIONS: an asset to a commercial bank. a liability to a commercial bank. an…

A: A checking is a bank saving account which is opened with a commercial bank by a customer. He can…

Q: Why is there a need for  banking regulations to regulate savings  and  the lending of money by…

A: Banks are one of the most important financial institutions. Banks play an integral role when it…

Q: Discuss the different roles and responsibilities of the treasury department in a bank

A: A bank’s markets division, also known as its Treasury, is part of the wholesale banking business.…

Q: Prepare a bank reconciliation statement

A: Bank Reconciliation statement is prepared when there is difference between cash balance as per…