ICICI stands for Industrial Credit and Investment Corporation of India

GENERAL ACCOUNTING( BASICS)

In summary: an increase (+) to an asset account is a debit. An increase (+) to a liability account is a credit. Conversely, a decrease (-) to an asset account is a credit. A decrease (-) to a liability account is a debit.

Debit cards and Credit cards

Debit cards and credit cards are creative terms used by the banking industry to market and identify each card. These are unrelated to the terms used in formal accounting. 1.A debit card is used to make a purchase with ones own money. 2.A credit card is used to make a purchase by borrowing money

The Five Accounting Elements

There are five fundamental elements within accounting. These elements are as follows: 1.Assets 2.Liabilities 3. Equity 4. Income 5. Expenses. The five accounting elements are all affected in either a positive or negative way.

1.Asset accounts
Bank, Receivables, Inventory, Land, Buildings (Plant), Furniture, Equipment, Vehicles, Machinery etc...

2.Liability accounts
Payables, Loans, Bank overdrafts etc...

3.Equity accounts
Capital, Drawings, Accumulated funds etc...

4.Income accounts
Services rendered, Sales, Interest income, Membership fees, Rent income etc...

5.Expense accounts
Telephone, Water, Electricity, Repairs, Salaries, Wages, Depreciation, Bad debts, Stationery, Entertainment, Honorarium, Rent etc...

Real, personal, and nominal accounts

1.)Real account: Debit what comes in and credit what goes out 2.)Personal account: Debit the receiver and Credit the giver 3).Nominal account: Debit all expenses & losses and Credit all incomes & gains Debit Increase Decrease Decrease Increase Decrease Credit Decrease Increase Increase Decrease Increase

Asset Liability Income Expense Equity/Capital

On the basis of 27th July 2011:Current Repo Rate 8% Current Reverse Repo Rate- 7%

Meaning of Current Bank Account Current bank account is opened by businessmen who have a number of regular transactions with the bank, both deposits and withdrawals. It is also known as Demand Deposit. Current account can be opened in co-operative bank and commercial bank. In current account, amount can be deposited and withdrawn at any time without giving any notice. It is also suitable for making payments to creditors by using cheques. Cheques received from customers can be deposited in this account for collection. Features of Current Bank Account 1.The main features of current account are as follows:2.The main objective of current bank account is to enable the businessmen to 3.conduct their business transactions smoothly. 4.There is no restriction on the number and amount of deposits. There is also no restriction on the withdrawals. 5.Generally bank does not pay any interest on current account. Nowadays, some banks do pay interest on current accounts. 6.Current account is of continuing nature and as such there is no fixed period.

Savings Account
A deposit account held at a bank or other financial institution that provides principal security and a modest interest rate. Depending on the specific type of savings account, the account holder may not be able to write checks from the account (without incurring extra fees or expenses) and the account is likely to have a limited number of free transfers/transactions

Meaning of Fixed Deposit Account - Bank

The account which is opened for a particular fixed period (time) by depositing particular amount (money) is known as Fixed (Term) Deposit Account. The term 'fixed deposit' means that the deposit is fixed and is repayable only after a specific period is over.

What is SLR?
Every bank is required to maintain at the close of business every day, a minimum proportion of their Net Demand and Time Liabilities as liquid assets in the form of cash, gold and un-encumbered approved securities. The ratio of liquid assets to demand and time liabilities is known as Statutory Liquidity Ratio (SLR). Present SLR is 24%. (reduced w.e.f. 8/11/208, from earlier 25%) RBI is empowered to increase this ratio up to 40%. An increase in SLR also restrict the banks leverage position to pump more money into the economy.