Important Banking Awareness Materials: Crack SBI PO Mains 2017 (Day-11)- Download in PDF

Important Banking Awareness Materials: Crack SBI PO Mains 2017 (Day-9)- Download in PDF
Important Banking Awareness Materials (Balance sheet, Capitals and Reserves, Foreign Exchange reserves, Central banks of countries& DRI): Crack SBI PO Mains 2017 (Day-11)- Download in PDF:
Dear Readers, SBI PO Mains Examination is approaching shortly and to Gear Up your preparation we have provided the “15 days Action Plan – Preparation Time Table for SBI PO Mains 2017”, based on the schedule we are provided Important Banking Awareness Materials, kindly make use of it.

BALANCE SHEET:
·        A balance sheet is a document which is a summary of the financial balances of an individual or organisation, whether it be a sole proprietorship, a business partnership, a corporation, private limited company or other organization such as Government or not-for-profit entity.
·        A balance sheet is often described as a “snapshot of a company’s financial condition”, which shows the financial position of a company at a particular point of time.
·        The Balance Sheet is a hugely important report and is divided into three main segments – assets (often divided into current assets and fixed assets), liabilities and shareholder equity or retained earnings.
Components of a balance sheet: 
·        Assets 
·        Liabilities 
·        Equity / Ratio
Assets: 
·       Assets at present: These are assets that may be converted into cash, sold or consumed within a year or less. Current Assets include cash, marketable securities, Account and notes receivables, inventories etc. 
·       Fixed: Fixed assets are those tangible physical facilities owned by an enterprise, which are permanent/durable in nature. Fixed assets are not turned over, meaning they are not converted into cash. For example: Land and building, machinery, tools, equipments etc.
·       Intangible: These assets do not exist in physical form but are notional possessions owned by an enterprise. These assets generally don’t have real money value but are important for a company. For example: patents, goodwill, trade-mark etc.
Liabilities: 
·       Current liabilities: Those obligations of a company which are payable on demand or within a period of less than 1 year from the date of the balance sheet.
·       Term Liabilities: A term liability is a debt which matures after a period of 12 months from the date of the balance sheet.
·       Net Worth: The net worth of a company is the owner’s stake in the business. It is a liability of a company towards its promoters. It is therefore an important item on the balance sheet onwhich a lending banker can rely.
·       Specific Reserves and Provisions: Specific Reserves and Provisions are created for the payment of taxes, dividends and other contingencies. 


RATIOS:
Ratios with respect to Liquidity: 

·        Current Ratio – Ratio of current assets to current liabilities. 
·        Quick Ratio – It is an index of the solvency of an enterprise. Basically quick ratio is the ratio of (Current assets-inventories) and current liabilities. 
Ratio with respect to Financial Stability: 
·       Debt-Equity Ratio – This ratio indicates the relative proportion of shareholders’ equity and debt usedto finance a company’s assets.
Ratios with respect to Profitability:
·       Return on investment ratio– This ratio measures the operating efficiency of a companywithout regards to financial structure.
·       Return on Equity Ratio– It is the ratio of net income of a business during a period to itsstockholders’ equity during that period.
CAPITALS AND RESERVES:
·       Capital and reserves is the difference between total assets and total liabilities in the balance sheet. It represents the equity interest of the owners in an entity and is the amount available to absorb unidentified losses.
·       Shareholder equity or retained earnings (known as capital and reserves in KashFlow) is also known as the ‘book value’, and is the difference between assets and liabilities;
·       It represents what’s left after all of a company’s debts have been paid off. It’s also a pretty good reflection of how strong a company is financially.
FOREIGN EXCHANGE RESERVES:
·       Foreign-exchange reserves (also called forex reserves or FX reserves) is money or other assets held by a central bank or other monetary authority so that it can pay if need be its liabilities, such as the currency issued by the central bank, as well as the various bank reserves deposited with the central bank by the government and other financial institutions.
·       In other words, Foreign exchange reserves are reserve assets held by a central bank in foreign currencies, used to back liabilities on their own issued currency as well as to influence monetary policy.
·       Reserves are held in one or more reserve currency, mostly the United States dollar and to a lesser extent the Japanese yen.
CENTRAL BANKSOF COUNTRIES:
·       A central bank, reserve bank, or monetary authority is an institution that manages a state’s currency, money supply, and interest rates.
·       Central banks also usually oversee the commercial banking system of their respective countries.
·       In contrast to a commercial bank, a central bank possesses a monopoly on increasing the monetary base in the state, and usually also prints the national currency, which usually serves as the state’s legal tender.
Country name
Central Bank
Afghanistan
Bank of Afghanistan
Albania
Bank of Albania
Algeria
Bank of Algeria
Argentina
Central Bank of Argentina
Armenia
Central Bank of Armenia
Aruba
Central Bank of Aruba
Australia
Reserve Bank of Australia
Austria
Austrian National Bank
Azerbaijan
National Bank of Azerbaijan
Bahamas
Central Bank of The Bahamas
Bahrain
Central Bank of Bahrain
Bangladesh
Bangladesh Bank
Barbados
Central Bank of Barbados
Belarus
National Bank of the Republic of Belarus
Belgium
National Bank of Belgium
Belize
Central Bank of Belize
Benin
Central Bank of West African States (BCEAO)
Bermuda
Bermuda Monetary Authority
Bhutan
Royal Monetary Authority of Bhutan
Bolivia
Central Bank of Bolivia
Bosnia
Central Bank of Bosnia and Herzegovina
Botswana
Bank of Botswana
Brazil
Central Bank of Brazil
Bulgaria
Bulgarian National Bank
Burkina Faso
Central Bank of West African States (BCEAO)
Cambodia
National Bank of Cambodia
Cameroon
Bank of Central African States
Canada
Bank of Canada – Banque du Canada
Cayman Islands
Cayman Islands Monetary Authority
Central African Republic
Bank of Central African States
Chad
Bank of Central African States
Chile
Central Bank of Chile
China
The People’s Bank of China
Colombia
Bank of the Republic
Comoros
Central Bank of Comoros
Congo
Bank of Central African States
Costa Rica
Central Bank of Costa Rica
Côte d’Ivoire
Central Bank of West African States (BCEAO)
Croatia
Croatian National Bank
Cuba
Central Bank of Cuba
Cyprus
Central Bank of Cyprus
Czech Republic
Czech National Bank
Denmark
National Bank of Denmark
Dominican Republic
Central Bank of the Dominican Republic
East Caribbean area
Eastern Caribbean Central Bank
Ecuador
Central Bank of Ecuador
Egypt
Central Bank of Egypt
El Salvador
Central Reserve Bank of El Salvador
Equatorial Guinea
Bank of Central African States
Estonia
Bank of Estonia
Ethiopia
National Bank of Ethiopia
European Union
European Central Bank
Fiji
Reserve Bank of Fiji
Finland
Bank of Finland
France
Bank of France
Gabon
Bank of Central African States
The Gambia
Central Bank of The Gambia
Georgia
National Bank of Georgia
Germany
Deutsche Bundesbank
Ghana
Bank of Ghana
Greece
Bank of Greece
Guatemala
Bank of Guatemala
Guinea Bissau
Central Bank of West African States (BCEAO)
Guyana
Bank of Guyana
Haiti
Central Bank of Haiti
Honduras
Central Bank of Honduras
Hong Kong
Hong Kong Monetary Authority
Hungary
Magyar Nemzeti Bank
Iceland
Central Bank of Iceland
India
Reserve Bank of India
Indonesia
Bank Indonesia
Iran
The Central Bank of the Islamic Republic of Iran
Iraq
Central Bank of Iraq
Ireland
Central Bank and Financial Services Authority of Ireland
Israel
Bank of Israel
Italy
Bank of Italy
Jamaica
Bank of Jamaica
Japan
Bank of Japan
Jordan
Central Bank of Jordan
Kazakhstan
National Bank of Kazakhstan
Kenya
Central Bank of Kenya
Korea
Bank of Korea
Kuwait
Central Bank of Kuwait
Kyrgyzstan
National Bank of the Kyrgyz Republic
Latvia
Bank of Latvia
Lebanon
Central Bank of Lebanon
Lesotho
Central Bank of Lesotho
Libya
Central Bank of Libya
Lithuania
Bank of Lithuania
Luxembourg
Central Bank of Luxembourg
Macao
Monetary Authority of Macao
Macedonia
National Bank of the Republic of Macedonia
Madagascar
Central Bank of Madagascar
Malaysia
Central Bank of Malaysia
Malawi
Reserve Bank of Malawi
Mali
Central Bank of West African States (BCEAO)
Malta
Central Bank of Malta
Mauritius
Bank of Mauritius
Mexico
Bank of Mexico
Moldova
National Bank of Moldova
Mongolia
Bank of Mongolia
Morocco
Bank of Morocco
Mozambique
Bank of Mozambique
Namibia
Bank of Namibia
Nepal
Central Bank of Nepal
Netherlands
Netherlands Bank
Netherlands Antilles
Bank of the Netherlands Antilles
New Zealand
Reserve Bank of New Zealand
Nicaragua
Central Bank of Nicaragua
Niger
Central Bank of West African States (BCEAO)
Nigeria
Central Bank of Nigeria
Norway
Central Bank of Norway
Oman
Central Bank of Oman
Pakistan
State Bank of Pakistan
Papua New Guinea
Bank of Papua New Guinea
Paraguay
Central Bank of Paraguay
Peru
Central Reserve Bank of Peru
Philippines
BangkoSentralngPilipinas
Poland
National Bank of Poland
Portugal
Bank of Portugal
Qatar
Qatar Central Bank
Romania
National Bank of Romania
Russia
Central Bank of Russia
Rwanda
National Bank of Rwanda
San Marino
Central Bank of the Republic of San Marino
Samoa
Central Bank of Samoa
Saudi Arabia
Saudi Arabian Monetary Agency
Senegal
Central Bank of West African States (BCEAO)
Serbia
National Bank of Serbia
Seychelles
Central Bank of Seychelles
Sierra Leone
Bank of Sierra Leone
Singapore
Monetary Authority of Singapore
Slovakia
National Bank of Slovakia
Slovenia
Bank of Slovenia
Solomon Islands
Central Bank of Solomon Islands
South Africa
South African Reserve Bank
Spain
Bank of Spain
Sri Lanka
Central Bank of Sri Lanka
Sudan
Bank of Sudan
Surinam
Central Bank of Suriname
Swaziland
The Central Bank of Swaziland
Sweden
SverigesRiksbank
Switzerland
Swiss National Bank
Tajikistan
National Bank of the Republic of Tajikistan
Tanzania
Bank of Tanzania
Thailand
Bank of Thailand
Togo
Central Bank of West African States (BCEAO)
Tonga
National Reserve Bank of Tonga
Trinidad and Tobago
Central Bank of Trinidad and Tobago
Tunisia
Central Bank of Tunisia
Turkey
Central Bank of the Republic of Turkey
Uganda
Bank of Uganda
Ukraine
National Bank of Ukraine
United Arab Emirates
Central Bank of United Arab Emirates
United Kingdom
Bank of England
United States
Board of Governors of the Federal Reserve System (Washington) Federal Reserve Bank of New York
Uruguay
Central Bank of Uruguay
Vanuatu
Reserve Bank of Vanuatu
Venezuela
Central Bank of Venezuela
Yemen
Central Bank of Yemen
Zambia
Bank of Zambia
Zimbabwe
Reserve Bank of Zimbabwe
DRI:
·       DRI stands for Differential Rate of Interest.
·       DRI scheme was first launched in the year 1972 in India. The scheme will be implemented in all the commercial banks of India.
·       Under this scheme a few eligible people will get loan at concessional rates from commercial banks to fund their business or work.
·       With the help of this scheme the people who live under poverty line or economically weaker groups will get a chance to better off their economic status.
·       The main aim or objective of the scheme is to provide loan to the economically backward classes and people who live under the poverty line at a lower rate of interest.
·       The scheme has launched to provide financial assistance to these people for their betterment and for making them economically stable.
·       Reserve Bank of India on 10th April 2008 has notified that borrowers with annual family income of Rs.18000 in rural areas and Rs.24000 in urban areas will now be eligible to avail of the facility as against the earlier annual income criteria of Rs.6400 in rural areas and Rs.7200 in urban areas, fixed by the Government of India in 1986.
·       The loan must be repaid within 5 years of time. An additional 2 years can be provided to the beneficiaries.
·       It depends on the nature and economics of the business. In case of agricultural loan NABARD guidelines should be followed.
Scheme
DRI
Launched
1972
Beneficiary
SC/ST/BPL, economically weaker group
Rate of interest
4% per annum
Banks
Indian commercial banks
Amount of loan
Rs. 6500/- (fixed) + 5000/- (SC/ST/PWD)

Important Banking Awareness Materials: Part-7 (Asset Reconstruction Companies, Financial Inclusion, NBFC, Money Market& MSME) –Click Here


 29th May 2017 – Today’s Preparation Schedule for SBI PO Mains 2017
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