AllAboutCommerce

What is Clubbing of Income in Income Tax?

2011-12-04T23:32:00.000-08:00

Every person is liable to pay tax on his income not on every receipt. It is the duty of the every person to pay tax otherwise he is liable for the penalty and imprisonment. In every country, person tries to non-disclose his income for the prevention to pay the tax. It is the major crime for non-payment of tax. person is liable to pay tax which is belong to his income not belong to other person. Tax rates may be progressive, regressive, or proportional. tax is imposed on different person according to their slab rates.

What is Clubbing of Income in Income Tax?

Normally, person is liable to pay tax which is belong to his income not belong to other person. But sometimes, provision arises in such a way that other person is liable to pay tax which is belong to other person because for the prevention of tax he/she distributes his income to his relatives and friends. But it is the duty of the income department is that to club (joint) the income and imposes tax on his total income.

For example: ram (transferor) transfer own income to sham (transferee) but no transfer his assets and he earned Rs.20000/- per month. For the prevention of tax he transfers his income to his relatives and friends. But this income is added in the ram account. It is chargeable for the income tax. Income tax department charge the tax from the Ram account because he is the main owner of this property.

Income Tax In India

2011-12-01T09:06:00.000-08:00

In India, income tax is introduced in 1860.Tax is levied on total income of assesse but not on every receipt. Assesse means that person who is liable for the payment of tax. No one can refuse to the payment of tax. Otherwise he is liable for the punishment (pay penalty the double amount of tax or imprisonment of 2-5 years). So, it is the responsibility of the every person for the payment of tax. Now, 151 years passed, since we are paying the tax.

How income tax came in India?

In India, income tax is introduced in 1860. At that time, British finance minister James willison enter in India 1757. Firstly, he entered in Bangalore. With the permission of king, James (finance minister) starts the trade in Bangalore. Slowly-2 he collects army in India then king asked then he says, it’s only for a security purpose. As the time passed, he seized the Bangalore.

According to the “Albert Einstein”, the hardest thing in the world to understand in the income tax.

Rules & Importance of Income Tax

2011-12-01T08:55:00.000-08:00

In India, income tax is introduced in 1860.Tax is levied on total income of assesse but not on every receipt. Assesse means that person who is liable for the payment of tax. No one can refuse to the payment of tax. Otherwise he is liable for the punishment (pay penalty the double amount of tax or imprisonment of 2-5 years). Every person more and more tried to non disclose of his income because of non payment of tax is called black money.

It is the responsibility of the every person for the payment of tax. Now, 151 years passed, since we are paying the tax. since we are paying the tax.

Tax deposit on -------notified branch
File return -------income tax department

It is very necessary for payment of tax. It is abolished by the government 1998.

Constitution and taxation:

Union list: tax on income other than agriculture income.
State list: tax is levied on agriculture on agriculture income when Punjab government wants. Other tax is not paid on the agriculture income. But in Karnataka, impose tax on the agriculture income.
Concurrent list: Criminal procedure, including all matters included in the Code of Criminal Procedure at the commencement of this Constitution, Bankruptcy and insolvency.

According to the “Albert Einstein”, the hardest thing in the world to understand in the income tax.
Our tax is based on the English law. It is more complicated concept. It is very difficult for the entire person to understand this law.

Problems:

Why to starts joint venture

2011-11-29T03:43:00.000-08:00

On the other hand, when two or more persons come together to form a temporary partnership for the purpose of carrying out a particular project, such partnership can also be called a joint venture where the parties are "co-ventures". In other words, we can say that- the cooperation of two or more individuals or businesses in which each agrees to share profit or loss and control in a specific enterprise.

Why to starts joint venture:

The main motive to start a joint venture is that suppose one person has a lot of money and one person have a technical knowledge. Then they start the business jointly (JV). They tried that how to show best thing in the market through his technical knowledge and makes famous in all over the world. For example: DLF company which is not hold in the market but after to start the joint venture (JV) makes a strong position in the market.

Advantages of JV:

Reduction in competition
Best outcome
Reduction risk
More competition with large firms
Upgrade technology
Decrease in production cost
Spread the risk
Less investment

Disadvantages:

Participation problem
Legal restriction
Difference in culture
No need of intention with other one
Lack of co-ordination
Dominant to other person
Difficult to choice the best partner

How to Increase the Value Of Company Share In the Market

2011-11-29T03:24:00.000-08:00

When any person start the business then always firstly decide the aim of the business and decide in advance what he wants to achieve. He decided what types of steps should be followed then he became a more popular in the world through his business. But now question arises, How to increase the value of company share in the market through merge the company.

How to Increase the Value Of Company Share In the Market

It is possible through the merge the company. For example: X and Y company after merge make a XY company ltd. When two different technical companies are merged or combined with each other & make a company then it is very helpful to increase the value of share in the market. Because of both of the company have a better goodwill in the market. With the efforts of both of the companies, best outcome in the market, upgrade technology, dominant to the competitors.

CRM (Customer Relationship Management)

2011-11-28T06:31:00.000-08:00

CRM Technology

CRM technology is an unbelievable set of tools to help make sales and advertising and marketing efforts extra efficient, quicker flowing, and extra accurate. At the identical time, they help you automate your database administration in order that you don't have to spend so much of your precious work time keeping up with data and files.

However, CRM is in regards to the relationships between people-specifically, your prospects and clients. Firms are a grand phantasm, in a sure sense. Folks do business, corporations do not. There have been companies before computer systems (although a few of you out there may discover that arduous to consider) and there were thus relationships before computers. CRM just isn't something that obtained invented after computers. Only the moniker "CRM" was invented them.

The key practices of client relationships didn't go out the window with the invention of the computer, either. Only the toolbox for helping you do it right has changed. CRM technology is your new toolbox. We've got to use the practices that work for regarding individuals and getting them to buy and come again for more. We can benefit from all that CRM know-how software program provides us to help make our practice excellent (or an inexpensive facsimile of perfection).

As an illustration, a prospect or consumer has a special experience with you when she goes to your website and is greeted by a human voice or can have a chat with you via her keyboard, which is what some CRM technology firms make possible, than she does with the standard Net browsing. This expertise lets you track the prospect or shopper's navigation by your web site, and have the ability to chime in and provide him your professional help. Nevertheless, it's debatable as to how welcoming this feels to visitors. For those who had been in a face-to-face or retail setting, you'd observe the visitor after which resolve based mostly on what you noticed whether or not or not to method her or what to say to her. You possibly can't see her face on the Web, nonetheless (except for some unusual reason you're each on webcams), and when the day comes when that is potential (without having any webcams) it's doubtful whether or not she'd let you. Companies nowadays tend more and more to wish to give themselves a CRM answer or take their CRM to a different level with software. Fortunes fall upon us quick within the twenty first century enterprise world, and CRM know-how strikes your sales and advertising alongside at a quick clip, indeed. However, your CRM must be in place and working nicely before you're taking it to the IT level. In short, you continue to must know what you are doing with gross sales and advertising if you want to be successful in business. Then you definately'll know the way to use your CRM software the proper way.

In case you thirst for more knowledge in relation to crm, pay a visit to Ai S Buonomo's web page directly.

Why Person Survive in the Business Whether No Profit Or No Loss

2011-11-28T06:15:00.000-08:00

Break-even point (BEP) exis the point at which cost or expenses and revenue are equal: there is no net loss or gain, and one has "broken even". A profit or a loss has not been made. When people starts the business then it’s always main aim to earn maximum profit in the business But now question arises is that when no profit or no loss then why person survive in the business.

Why Person Survive in the Business Whether No Profit Or No Loss:
In the break-even point, always situation arises no profit or no loss. but when no profit in the business then why the person survive in the business. It does not means person nothing earned from the business. It means that only that portion of the profit is earned which is only helps to meets his daily needs related to the business not for a positive saving.

It means that profit is the wider term of the business. Profit is always included in the sales revenue but when sales revenue is greater than total cost then it is very helpful for the saving purpose. In other words, we can say that when he starts the business then always just estimate profit margin in the sales revenue.

Break-even point= total cost – total sales revenue

What is ERP, where ERP system is used, How ERP designed and implemented

2011-11-23T00:45:00.000-08:00

What is ERP?

Enterprise Useful resource Planning, also referred to as ERP, is a technique designed to combine a number of different information sources and/or processes into one single unified system. This method would require the use of both hardware and software program for planning and improvement.

Where an ERP system would be used?

ERP systems can be used in any giant group that has a variety of information flowing by its computers. Generally, small or medium sized businesses should not have any need for a full scale ERP system. Larger firms, reminiscent of main banks, auto producers, and retail chains can profit the most from a properly planned ERP. Furthermore, particular person enterprises usually break up their ERPs into smaller units, reminiscent of manufacturing, financials, and client management in order that knowledge will be more easily shared between these resources that might almost certainly benefit from the information portability.

How is an ERP designed and implemented?

Regardless of how large of a system is being carried out, all ERP programs require a number of thought and careful design as a way to operate successfully. Historically, smaller ERP systems require only months to prepare while bigger ERP programs can take as much as a year or to correctly develop and implement. Bigger corporations generally search the advice of ERP consulting companies whereas smaller firms will seemingly use an in-home crew to chop costs.

Essentially the most essential step to implementing any ERP system is emigrating the information to the ERP. Migrating data, although an essential step, often receives the least consideration in lots of ERP systems. There are six steps to profitable data migration. First, establish the required data. Second, plan the timing for the migration. Third, build information templates. Fourth, freeze the mandatory data migration tools. Fifth, decide information migration setups. Sixth, archive the necessary data.

If you would like further information concerning what is erp, visit Jerry T Hergenreter's internet site forthwith.

What is ERP, and its Advantages, disadvantages and its components

2011-11-20T06:42:00.000-08:00

What is ERP?

It is actually designed to be used in giant enterprises on the lookout for full integration of their systems. An important level in most ERPs is the unified database which is able to store all of the crucial data for each of the system's modules.
What are the required components for a profitable ERP system?

There are two principal elements which might be required for any successful ERP system.

The primary is the common, unified database. This allows the ERP system to have access to every byte of information as well as all the knowledge that's required to make each a part of the enterprise run as a whole unit. It also permits all the enterprise's info to be rapidly and easily shared in a reliable and accessible manner.
The second key part to a profitable ERP system is a modular software design. This primarily means that an ERP uses software program that can be added or eliminated as wanted so as to maximize the efficiency and usefulness of the system as a whole. While there are a couple of firms that can present all the software program for a selected ERP, most enterprises will mix and match their software program from different firms as a way to attain maximum efficiency within the enterprise. Every modular utility should be capable of interface with the widespread database in order that the entire knowledge will be shared as needed.

What are the advantages of utilizing an ERP system?
The commonest benefit of an ERP system is that information is easily transferred from one place to another. Also, many ERP techniques can also enhance the security of an enterprise because of its in-built safeguards. Other positives components embody low operational prices, better customer service, and improved productiveness of employees.

What are the disadvantages of using an ERP system?

The most typical drawback of an ERP system is the cost. Many ERP methods are extraordinarily costly to design and implement. Furthermore, despite their modular nature, the software customization choices are limited and might be difficult to adapt to sure businesses. Also, the info entered into an ERP system should be prime quality, lest it decay even additional over time. Finally, the system may be too complex and not be right for companies which can be organized into many smaller departments.

If you would like further information concerning what is erp, visit Jerry T Hergenreter's internet site forthwith.

Why people preferred to purchase an equity share

2011-11-15T04:45:00.000-08:00

Equity share holders are the real owner of the company. They have voting right. They take part in the meeting of the company. They also participate in taking decision for the efficient management of the company. But in equity share dividend rate is not fixed. They can’t redeem during the life time of the company.

Why people preferred to purchase an equity share:

People take more and more preference to purchase an equity share first of all they are more valuable when sale in the market as compared to the preference share and debenture. They are equivalent to the cash. They are low cost when they purchase. Otherwise when we purchase a preference share then it may be in the form of stock (means bulk quantity). It is not easy for a middle class people to purchase a preference share but every person is capable to purchase an equity share.

Definition of central bank

2011-11-10T00:26:00.000-08:00

Central bank is that bank in which the only power of issued currency notes. It can issued the notes on the authority and behalf of the government. It is the controller and guardian of the money market. It is the last lender of the money resort. As customer deal with the commercial bank, only commercial bank deal with the central bank . customer are not directly deal with the RBI (central bank). It can raised and reduced the money in the market at any time.

Definition of central bank:

Acc. to De Kock,” central bank is a bank which constitutes the apex of the monetary and banking structure of the country”.
Acc.to bank of international settlement,” A central bank is a bank in any country to which has been entrusted the duty of regulation the volume of currency and credit in that country”.
Acc.to veera smith,” the primary definition of central bank is the banking system in which a single bank has either a complete or residual monopoly of note issue”.

Merge Of Bank In Between the 1961

2011-11-10T00:10:00.000-08:00

Merger means when two or more company combined with each other and either make a single entity or one company lose its entity and other company continued his business. An acquisition is the purchase of one business or company by another company in purchased consideration. Mergers are well recognized. for example: merge of bank in between the U.K and charity bank and investing and becomes a single entity in the market.

Merge Of Bank In Between the 1961:

Name period

Prabhat bank with national bank of Lahore ltd 9-03-1961
Indo- commercial bank with Punjab national bank 25- 03-1961
Bank of Nagpur with bank of Maharashtra 27-03-1961
New citizen bank ltd with bank of Baroda 29-04-1961
Travancore forward bank ltd with state of Travancore 15-05-1961
Bank of Kerala ltd with canara bank 20-05-1961
Bank of Poona with Sangli bank ltd 03-06-1961
Bank of New Delhi with state bank of Travancore 17-06-1961
Venadu bank ltd with South Indian band ltd 17-06-1961
Wankaner bank ltd with Dena bank 17-05-1961
Seasia midland bank ltd with canara bank 17-06-1961
Kottayam orient bank ltd with state bank of Travancore 17-06-1961
Bank of Konkan ltd with bank of Maharashtra 19-06-1961
Poona investor bank ltd with Sangli bank 28-06-1961
Bharat industrial bank ltd with bank of Maharashtra 01-07-1961
Rayalaseema bank ltd with Indian bank 01-09-1961
Cuttack bank ltd with united bank of India 04-09-1961
Pie money bank ltd with Syndicate bank 04-09-1961
Moolky bank ltd with Syndicate bank 04-09-1961
Merchant bank ltd with Tanjore permanent bank ltd 04-09-1961
Tezpur industrial bank ltd with united bank of India 04-09-1961
G.raghunathmull bank ltd with canara bank 04-09-1961
Satara Swadeshi commercial bank ltd with united western bank ltd 06-09-1961
Catholic bank ltd with syndicate bank 11-09-1961
Phaltan bank ltd with sangli bank ltd 07-10-1961
Jodhpur commercial bank ltd with central bank of India 16-10-1961
Bank of citizen ltd with Canara banking corporation ltd 17-10-1961
Karur mercantile bank ltd with Laxmi Vilas bank ltd 19-10-1961
Peoples bank ltd with Syndicate bank 14-11-1961
Pratap bank ltd with Lakshmi commercial bank ltd. 11-12-1961

Definition of money market

2011-11-09T22:04:00.000-08:00

A money market is an agreement that brings about a direct and indirect contact between the lenders and borrowers. Borrowers like merchant, trader, manufacturer, business concern. Lenders like commercial bank, central bank, insurance company, financial concern. finance plays a very important role for the economic development of the country. finanace is defines as the provision of money at time when it is required.

Reserve bank of India describes as:-

“The centre for dealing, mainly for short term character, in monetary assets is meeting with the short term requirement of the borrowers, provide liquidity or cash to the lenders”.

Features of developed of money market

2011-11-09T21:51:00.000-08:00

A money market is an agreement that brings about a direct and indirect contact between the lenders and borrowers. Borrowers like merchant, trader, manufacturer, business concern. Lenders like commercial bank, central bank, insurance company, financial concern. finance is defined as the provision of money at time when it is required. financial institution plays a very importat role in the economic system.

Features of developed of money market:

Commercial bank
Central bank
Sub market
Near money assets
Available ample resources
Integrate rate structure
Other features of developed money market

Commercial bank: It is the backbone of the money market. It is also the important component of the money market. For a developed money market, commercial bank plays a very important role for increase the money supply in the market because they provide loans to their customer. So that it is very helpful for the economic development of the country because bank provide loan for trade and without money trade is not possible.

Central bank: central bank also the important play important role in developed money market. It is the controller and guardian of the money market. It is the last lender of the money market. It also raise and reduced the flow of the flow of money in the market.

Sub market: sub market means combination of various specialized market but sometimes various unspecialized market are included in the market so that no development in the money market.

Available ample resources: ample resources means attract foreign funds. Ample resources are necessary for the smooth running of the money market.

Near money assets: when there is a large no. of near money assets then it is more helpful for the developed money market. Near money assets like bill of exchange, negotiable instrument, government bonds, treasure bills.

Integrate rate structure: central bank is very helpful for the controller of the money market because different interest rate is different-2 sub market so when change in the bank interest rate then result in equi- proportionate change in the interest rate. So we can say that, central bank is very helpful for the controller and guardian of the money market.

Other features of developed money market:

Industry development
Boom
Depression
Bill of exchange
Volume of international trade

History & Evolution of E-commerce

2011-11-07T08:09:00.000-08:00

E-Commerce was birth out of the World-Wide-Web (WWW). E-commerce means buy and sell of goods through internet. With the help of internet, we can purchase and sale in sitting at home. It saves a lot of time and money. It increases the efficiency and profitability of the business. With the help of internet, not only buy and sell the goods but also marketing, E-banking, advertising etc. We can send business information to his customers at any time.

It is a paperless method. We can send business information not only to his customers but in all over the world within a few seconds. It is only possible through internet. So we can say that it saves a lot of time. Businesses also have been engaging in a form of electronic commerce, known as electronic data interchange, for many years.

Evolution of E-commerce:

1972: E-business technique firstly used by the IBM Company and more successful transaction held them. First successful transaction held in 1973 between the USA and European Union.

1979: In 1979, online shopping was invented in UK.

1980: online shopping also used extensively in the UK.

1981: The first recorded business to business (B2B) was Thomas holidays in 1981.

1982: A market place for used computer launched in 1982.

1984: The first recorded business to consumer (B2C) was Gateshead SIS/Tesco in 1984.

1990: Tim Berners-Lee writes the first web browser, WWW using a next computer.

1991: internet online system introduced in 1991.

1992: J.H. snider and Terra Ziporyn publish future shop.

1994: internet becomes more and more popular in the world in 1994.

1995: Jeff Bezos launches amazon.com and Dell and Cisco begin to use internet for commercial transaction.

1998: electronic postal stamps can be purchased and downloaded for printing from the web.

1999: the peer to peer software napster launches.

2000: most of the European and American company used the WWW technology for the business transaction.

2002: the dot-com bust.

2003: Amazon.com posts first yearly profit.

2007: business.com acquired by R.H. Donnelley for %345million.

2008: US e-commerce and online retail sales projected to reach $204billion an increase of 17% over 2007.

Recent Merger In Bank

2011-11-05T23:28:00.000-07:00

merger means when two or more company combined with each other and either make a single entity or one company lose its entity and other company continued his business. Typically we can say that, the larger of the two companies is the company whose identity is maintained. Differs from a consolidation in that no new entity is created from a merger. e.g.: SBI and State Bank of Indore

Recent Merger In Bank

HDFC Bank Acquires Centurion Bank of Punjab May '08
Banks Merged with Period United Western Bank IDBI Bank 6-Sep
Lord Krishna Bank with Centurion Bank 6-Aug
Ganesh Bank of Kurundwad with the Federal Bank 6-Jan
Bank of Punjab with Centurion Bank 5-Sep
IDBI Bank IDBI Limited 5-Apr
Global Trust Bank with Oriental Bank of 4-Jul
Commerce Nedungadi Bank with Bank of Punjab 2-Nov
Benares State Bank with Bank of Baroda 2-Jun
ICICI Limited with ICICI Bank 2-Jan
Times Bank with HDFC Bank Feb-00
Sikkim Bank with Union Bank Dec-99
Bareilly Corporation Bank with Bank of Baroda Jun-99

Merge Of Bank Between the 1991-2005

2011-11-05T22:58:00.000-07:00

Merger means when two or more company combined with each other and either make a single entity or one company lose its entity and other company continued his business. Horizontal merger - Two companies that are in direct competition and share the same product lines and markets. Vertical merger - A customer and company or a supplier and company. Think of a cone supplier merging with an ice cream maker. E.g: Bank of Karad ltd with Bank of India is an example of merge of bank.

Merge Of Bank Between the 1991-2005:

Bank of Karad ltd with Bank of India 1993-1994
Kashinath Seth Bank with State Bank of India 1995-1996
Punjab Co-op. Bank ltd with Oriented Bank of Commerce 1996-1997
Bari Doab Bank ltd with Oriented Bank of Commerce 1996-1997
Bareilly Corp. Bank ltd. With Bank of Baroda 03-06-1999
Sikkim Bank ltd with Union Bank of India 22-12-1999
Times bank of India with Union Bank of India 26-02-2000
Banaras State Bank ltd with bank of Baroda 20-07-2002
Bank of Madura with ICICI Bank 1-Mar- 2001
Nedungadi Bank ltd. With Punjab National Bank 01-02-2003
Global Trust Bank ltd with Oriented Bank of Commerce 24-07-2004

Main Issues At Time Of Mergers

2011-11-04T09:56:00.000-07:00

An acquisition is the purchase of one business or company by another company in purchased consideration. Mergers are well recognized.

Main issues at time of merger:

Human resources
Taxation
Accounting
Technology related issue
Integration of products and services
Shareholders interest
Legal issue

Human resources:

It is the main issue at the time of merger. Workers and employees never want to merge the company because of loss of his individualist. So that it is necessary that positive motivate to the employees. When company merge between the two companies then motivate to the employee no loss to the company and never adverse effect on the company.

Taxation:

Different- 2 companies have different rules and regulation. So that When merges the two companies then taxation rate also change with the change the company.

Accounting:

Mostly, different company prepares the accounts in a different way so that when at the time of merge the company then it is very necessary to bring the consolidation between the two companies.

Technology related issue:

It is the main issue at the time of merger. When merge the company then both of the two companies have different technology then company may be suffered from the major problems. So it is necessary that at the time of merger take care both the company have same techniques. In order to have desired results of merger it is required to have meaningful integration of technology with cost effectiveness quality and improving the skill of the work force.

Integration of products and services:

After merge the company, when same technique then no problem but sometime creates monopoly in the market. Customer suffered from the major problems to decide what type of product is purchased or not. For create the monopoly, less the competition in the market because more competition then best quality in the product.

Shareholders interest:

Employee always thinks that at the time of merger always decrease the interest rate. When company distribute Rs.100, 000 to the 100 shareholder after merge surplus distribute among 200 shareholder. But he doesn’t after the merge the company always increases the profit.

Legal issue:
It is necessary that always follow the RBI rules and regulation at the time of merger. It is necessary to inform the legal authority.

Legal Consideration For Small Scale Business

2011-11-03T07:45:00.001-07:00

When employer start a factory then he provides a various facility to workers under factory act 1948, employee state insurance act 1948, employees provident act 1952, workmen compensation act 1923, minimum wages act 1936, industrial disputes act 1947, payment of wages act 1948. State and central government have made several act related to small scale industry because its main aim to provide best facility to their workers.

Legal consideration for small scale business:

Factory act 1948
Employee state insurance act 1948
Employees provident act 1952
Workmen compensation act 1923
Minimum wages act 1936
Industrial disputes act 1947
Payment of wages act 1948.

Factories act 1948: The factory act 1948 is that wages manufacturing process is carried on specified number of employees (more than 20 people employed in a factory. and The main object of the factory act is that to provide safety to the workers & to provide healthy working condition to the workers.

Health of workers:

Proper ventilation and temperature
Proper lighting
Latrines & urinals
Prevention of overcrowding
Drinking water
Spittoons
Bathroom facility
Prevention of dust
Artificial humidification
Better working condition and limited time hours for work

Employees provident act 1952:

The main objective of this act is that provide provident fund to the workers for old age or after retirement in the form of pension or P.F. Only those people are included in this act whose salary is less than 5000/- rupees. Both employer and employee contribute for this act at the prescribed rate.

Employee state insurance act 1948:

It provides many other benefit to their employee and their dependent like medical benefit, sickness benefit, maternity benefit (when women pregnant then company provide 12 week holiday and either with or without payment it depends upon the organization), benefit to their dependent, funeral benefit.

Workmen compensation act 1923:
When any employee injured during working hours from the machine then company is liable for the payment of the compensation. But when this injury is recovered within three days then company is not liable for any type of compensation.

Minimum wages act 1936:
The main object of the company act is that to prevent the exploitation of workers.

Industrial disputes act 1947:
Industrial disputes act 1947,

maintain a peaceful relationship between the employer and employee
Peaceful settlement among them
Prevent from the layoff, retrenchment to the employee
Prevent to the company from illegal strike.

Payment of wages act 1948:

Fixation of wage period: The main object is that to secure payment of wages to workers at regular time.

Time of Payment: two ways of payment:

When employee is less than 1000: When employee is less than 1000 than payment of wage period before the expiry of the seventh day after the last date of the wage period.

Other cases: in other cases, payment of wages before the expiry of 10th day after the last date of the wage period.

Deduction of payment = (salary- fines- tax- absence- provide house rent accommodation- losses incurred)

Late payment of wages:

Payment of wages act,1948

2011-11-02T09:02:00.000-07:00

Payment of wages act 1948.

Fixation of wage period
Time of Payment
Medium of payment
Deduction of payment
Rules of imposed fine
Late payment of wages

Fixation of wage period: The main object is that to secure payment of wages to workers at regular time.

Time of Payment: Two ways of payment:

When employee is less than 1000: When employee is less than 1000 than payment of wage period before the expiry of the seventh day after the last date of the wage period.

Other cases: in other cases, payment of wages before the expiry of 10^th day after the last date of the wage period.

Medium of payment: payment can be made to the employee either in cash or cheque or notes or coins.

Deduction of payment: when any payment to the employee then following deduction can be made:

Fines
Absent during working hours
Any type of loss occurred
Provide house, water, electricity facility
Tax deduction

All these deduction is in a prescribed limit which is fixed either by the government or depends upon the organization.

Deduction of payment = (salary- fines- tax- absence- provide house rent accommodation- losses incurred)

Rules of imposed fine:

Fine should not more than 3% which is set by the government.
Fines are not imposed to that person whose age is less than 15 years
Proper record is maintained who pay the fine.

Late payment of wages:

Factory act,1948

2011-11-01T10:33:00.000-07:00

Factory act, 1948

Factories act, 1948: The factory act 1948 is that act in which manufacturing process is carried on specified number of employees (more than 20 people employed in a factory. and The main object of the factory act is that to provide safety to the workers & to provide healthy working condition to the workers.

Health of workers:

Proper ventilation and temperature
Proper lighting
Latrines & urinals
Prevention of overcrowding
Drinking water
Spittoons
Bathroom facility
Prevention of dust
Artificial humidification
Better working condition and limited time hours for work

Safety of workers:

Protection of employees against dangerous machine
Prohibition of employee women and children near cotton opener
Prohibition of young employee near dangerous machine
Appointment of safety officer
Switch off Power cut off in case of emergency
Fencing of machinery

Welfare of workers:

Creches facility
Shelter, rest room, canteen facility
Lunch facility
First aid appliances

Adventure is the nature of trade

2011-10-26T01:04:00.000-07:00

Business is an economic activity which means to earn something. It includes trade, aids to trade, and manufacturing. A business is an organization which is engaged in trade of goods, services. Businesses are those economic activities, where most of them are privately or publically owned and administered to earn profit to increase the wealth of their owners or investors.

Business:

Business = trade+ aids to trade
Profit and gain from business

• Income over expenditure is called profit or gain
• Expenditure over income is called loss

Adventure is the nature of trade:Adventure means to participate in the risky work & trade means buy and sell of goods and services. Every business big or small always involves a major risk because risk is the major play role for the success of our business enterprise.

For example:• When any items purchased for its possessions or only for his satisfaction not a regular courses then it is not an adventure is the nature of trade.
• Sometime sale or resale normally in the business then it is an adventure is the nature od trade.
• When any goods sale to the other person in intension then it is an adventure is the nature of trade.
• When any goods purchased only for show off not a business then it is not an adventure is the nature of trade.
• When purchased goods then intension for sale but after sometimes change the mind and he doesn’t want to sale the goods then it is not an adventure is the nature of trade.

Direct method of cash flow statement

2011-10-21T10:00:00.001-07:00

Operations activity
Investing activity
Financing activity

operating activity:

cash received from customer                                                         xxx
cash paid to supplier                                                                     (xxx)
cash generated from operating activity                                          xxx
income tax                                                                                   (xxx)
cash flow before extraordinary items                                              xxx
extraordinary items                                                                       (xxx)
net cash used/from operating activity                                              xxx

Investing activity:

Purchase of fixed assets                                                              (xxx)
Sale of fixed assets                                                                       xxx
Dividend received                                                                         xxx
Cash flow from/used in investing activity                                        xxx


Financing activities:

• Proceeds from issuing short-term or long-term debt                    xxx
• Payments of dividends                                                             (xxx)
• Payments for repurchase of company shares                             xxx
• Repayment of debt principal, including capital leases                   xxx

Working of an E- mail

2011-10-20T09:45:00.000-07:00

Internet is a combination of two words interconnection and network. It means internet is a connected with a various network. Internet is a global network of computers. With the help of internet, we can communicate with each other. We can also send mail within a few seconds. Internet plays a very important role for the successful of our life and business. with the help of internet, we can search any type of data, download any type of software. Sending and receiving message all over the world at minimal prices

E- mail

Electronic mail is a paperless method of sending and receiving message. We can send message within a few seconds at any time or anywhere. It is the best way of sending message to the other person because we can attach important files or document with message and also video chat with our relatives, friends, clients.

Working of an E- mail

Running of a mail program
Sending a message
Receiving a message
Reading a message
Receiving attachment
Opening attachment
Composed a message
Printing a message
Replying a message
Forward a message
exit

Running of a mail program

Sending a message

Receiving a message & Reading a message

Receiving attachment & Opening attachment

Compose a message

Printing a message

Replying a message & Forward a message

exit

Cash Flow Statement

2011-10-05T08:21:00.000-07:00

Cash flows statement is prepared to measure the cash in-flows and cash out-flows from the operating, investing and financing activities of a business during a period. Cash inflows usually arise from one of three activities – financing, operations or investing. The money coming into the business is called cash inflow, and money going out from the business is called cash outflow. This holds true for both business and personal finance.

Cash flow statement has three activities – • Operations activity
• Investing activity
• Financing activity

Types of cash flow statement
• Indirect method
• Direct method
Operating activitiesFollowing items are included in cash flow from operating activity:
• first of all profit is written as per balance sheet or capital reserve        xyz
       Non-operating expenses:
• loss on sale of fixed assets   xyz
• goodwill written off   xyz
•
Transfer to general reserves   xyz
• depreciation on fixed assets like plant and machinery, land, building   xyz
• dividend paid or received which is shown in adjustment   xyz
• provision of income tax                                                                                             xyz
• stock dividend    xyz
• discount writtenoff   xyz
• patents w/o    xyz
• debenture premium    xyz
• provision of depreciation    xyz
• profit on investment    xyz
Non-operating incomes:
• profit on sale of fixed assets                                                                               ( xyz)
Working capital:
Add:
Decrease in current assets    xyz
Increased in current liabilities   xyz
Less:
Increased in current assets                                                                                          ( xyz)
Decrease in current liabilities                                                                                     ( xyz)

(-) income tax                                                                                                           ( xyz)

                    Company Name, ABC
                                                  Cash Flow Statement
               For the Year Ended march 31, 2011

Cash Flows from Operating Activities:
      Operating Income (EBIT)               $ 489,000
      Depreciation Expense                    112,400
      Loss on Sale of Equipment                 7,300
      Gain on Sale of Land                    (51,000)
      Increase in Accounts Receivable         (84,664)
      Decrease in Prepaid Expenses              8,000
      Decrease in Accounts Payable            (97,370)
      Decrease in Accrued Expenses           (113,860)
    Net Cash Flow from Operating Activities            $ 269,806

Investing activity:
Purchase of fixed assets                                                                                            ( xyz)
Sale of fixed assets    xyz
Dividend received   xyz
Cash flow from/used in investing activity   xyz

                   Company Name, ABC
                                               Cash Flow Statement
               For the Year Ended march 31, 2011

Cash Flows from Investing Activities:
      Sale of Equipment                     $ 89,000
      Sale of Land                            247,000
      Purchase of Equipment                  (100,000)
    Net Cash Flow from Investing Activities            $ 136,000
Financing activities
• Proceeds from issuing short-term or long-term debt
• Payments of dividends
• Payments for repurchase of company shares
• Repayment of debt principal, including capital leases

                Company Name, ABC
                                               Cash Flow Statement
               For the Year Ended march 31, 2011

                Cash Flows from Financing Activities:
      Payment of Dividends                  $ (90,000)
      Payment of Bond Payable                (200,000)
    Net Cash Flow from Financing Activities            $(290,000)
    Net Change in Cash                                 $ 115,806
    Beginning Cash Balance                               319,730
    Ending Cash Balance                                $ 435,536