Rising Creditors: Strategic Advantage or Financial Warning? Vinu: Hey Manu, I’ve been going through our company's financial statements, and I noticed that our creditors have been continuously increasing year over year. Should we be concerned about this? Is it a good or bad sign? Manu: That’s a great...
How to Verify Capital Infusion: A Step-by-Step Guide for Bankers Vinu: Hey Manu, last year in a company’s financial statement, the current account was reported on the asset side, and it resulted in a negative tangible net worth. This year, they reported the current account on the liability side and ...
Demystifying the Partners' Current Account: A Guide to Managing Partnership Finances Vinu: Hey Manu, I was going through the balance sheet of our partnership firm, and I noticed something called the "Partners' Current Account." Can you explain what that indicates? Manu: Sure, Vinu! The Partners' Cur...
Decoding Section 28: Time Limits and Legal Implications in Bank Guarantees Vinu: Hey Manu, I came across something called "Section 28" in one of our bank guarantee documents. Can you explain what Section 28 is and when it applies to a bank guarantee? Manu: Of course, Vinu! Section 28 of the Indian C...
Decoding Average Maturity in Term Loans: A Practical Guide for Better Financial Planning Vinu: Hey Manu, I’ve been hearing a lot about terms like "average maturity" in the context of term loans. Can you explain what average maturity is and how it’s calculated? Manu: Sure, Vinu! Average maturity is a...