Understanding Form 3CB and 3CD: A Guide to Tax Audits in India Vinu: Hey Manu, I’ve been hearing about Form 3CB and 3CD, and I’m a bit confused. How do I know if these forms are applicable to a firm or a company? Manu: Good question, Vinu. Forms 3CB and 3CD are part of the tax audit process in India...
Navigating High TOL/TNW Ratios: Strategies to Strengthen Your Loan Proposal Vinu: Hey Manu, we’ve received an OD loan proposal where the TOL/TNW ratio is quite high, around 14:1. But the thing is, all the other financial ratios are within the benchmark, and overall, the loan proposal looks really go...
Bill Discounting vs. Bill Purchase: Understanding the Key Differences and Risks Vinu: Hey Manu, I’ve been hearing about bill purchase and bill discounting a lot lately, but I’m still not sure what the difference is. Can you explain? Manu: Sure, Vinu! Let's break it down. Bill discounting is when you...
Understanding Loan Equivalent Risk (LER): How Banks Manage Risk Beyond Currency Fluctuations Vinu: Hey Manu, I heard about this "Loan Equivalent Risk" (LER) today, but I’m confused about how it works. Could you explain it with a real example? Manu: Sure, Vinu! Let’s take an example. Imagine ABC Ltd....
Understanding Treasury Yields: A Beginner's Guide to Bond Returns and Market Signals Vinu: Hey Manu, can you explain what a treasury yield is? I've heard about it, but I'm not really sure what it means. Manu: Sure, Vinu! Treasury yield refers to the return an investor gets on a U.S. government bond ...