A nation is a sovereign entity. Any risk arising from the likelihood that a government has not cancelled a debt repayment or is not complying with a credit contract is a sovereign risk. Description: Such practices can be invoked by a government in times of economic or political uncertainty or even as a confident attitude that abuses its independence. A government can resort to such practices by slightly changing the termination of this agreement and by not terminating the producer agreement with the company. However, the termination of the production contract with the company terminates this contract and no notification is expressly required. Marginal Standing Facility (MSF) is a window of opportunity for banks to borrow money in an emergency situation from the Reserve Bank of India when liquidity between banks dries up completely. Description: Banks lend to the central bank by mortgageing government bonds at an interest rate higher than the liquidity adjustment facility or in abbreviated LAF. The MSF rate is 100 basis points or a percentage The graph above shows the supply curve that is tilted upwards (positive ratio between price and quantity delivered). When the price of the merchandise was P3, the suppliers supplied Q3 quantity.
When the price starts to rise, the quantity delivered also begins to increase. Cliché: How the supply law works… Definition: The right of supply states that other factors that remain constant, the price and quantity provided by a commodity, are directly related. In other words, if the price paid by buyers for a good increase, then the suppliers increase the supply of this merchandise in the market. Description: The right of delivery represents the manufacturer`s behaviour at the time of changes in the prices of goods and services. When the price of a commodity increases, the supplier increases the supply to earn a profit because of the higher prices. The service tax is a tax imposed by the government on service providers for certain service transactions, but is effectively borne by customers. It is classified as an indirect tax and was created in 1994 under the Finance Act. Description: In this case, the service provider pays the tax and claims it to the client. The services tax was once levied on a certain list of services, but in th: it is a technique that aims to analyze economic data in order to eliminate fluctuations due to seasonal factors.
Description: Seasonal adjustment of economic/temporal data plays a key role in the analysis/assessment of the general trend. In the world of finance, comparing economic data is of paramount importance in determining the growth and performance of a compan asset purchase ratio, which is the ratio between the value of a company`s turnover or turnover and the value of its assets. It is an indicator of the efficiency with which a company uses its assets to achieve its turnover. Therefore, the turnover rate of the asset can be decisive for a company`s performance. The higher the ratio, the better the company`s performance.