Advertisements
Advertisements
प्रश्न
Explain any two advantages of Public deposits.
संक्षेप में उत्तर
उत्तर
- Simple Procedure: There are less legal requirements for issuing and withdrawing monies from public deposits. Unlike shares and debentures, companies do not need to seek approval from the capital controller or be listed on a stock exchange.
- Economical: Obtaining public deposits is quite a minimal cost. Companies do not have to spend money on prospectuses or underwriting commissions. Public deposits offer lower interest rates compared to other banking organisations.
shaalaa.com
Short-term Sources of Funds - Public Deposits
क्या इस प्रश्न या उत्तर में कोई त्रुटि है?
APPEARS IN
संबंधित प्रश्न
What are Public Deposits? Briefly explain any two merits of Public Deposits.
Briefly explain any three demerits of public deposits.
Explain any two disadvantages of Public deposits.
A company is facing liquidity crunch, hence offers relatively higher interest for upfront borrowing in comparison to commercial banks. Which source of short-term finance would be suitable in the above case?
