Com-Exultant : Finance and Research

   Credit Rating Credit Rating can be defined as the assessment of the ability of the borrower, to discharge their financial obligations. It is an approximation of the creditworthiness of an individual, entity or commercial instrument, considering various factors, representing the capability and willingness, to pay financial commitments in time. Credit rating is instrument specific and is meant to grade various commercial instruments, with respect to the credit risk and the obligator’s ability to make good the debt obligations, as per the terms of the agreement. The different types of credit ratings are depicted in the figure below: Simply put, credit rating refers to the expression of opinion concerning debt instrument, based on credit risk evaluation, given by rating agency as on a particular date, indicating the probability of principal plus interest to be met by the borrower in a timely manner. There are three facto...

  Materials Management Definition : Materials Management is one of the main functions of SCM i.e.  supply chain management . It is concerned with all the activities related to the flow of material. It covers – planning, sourcing,  procurement , scheduling, storing, providing, and controlling appropriate materials. By the term ‘materials’ here we are referring to both – Direct Material and Indirect Material. It plays a crucial role in industries like construction, manufacturing and production. This is because in such industries any sort of shortage of material, or supply of low-quality materials may result in loss. And this loss will be of both profits as well as customer satisfaction. Further, the material should be of the right quality, and quantity and at the right place at the right time. This is going to ensure coordination and scheduling of the activity of production in a comprehensive manner. It aims to: ·         ...

  Virtual Marketing Definition : Virtual Marketing is an alternative term for digital marketing or viral marketing. When  marketing  is undertaken in a virtual or digital space, it is virtual marketing. It involves the use of the internet and related technologies for achieving marketing goals and objectives. So, marketing activities are performed through the internet. Marketing is an advanced methodological science. The rules are continuously changing as per the needs and improvements that occur in and around it. Do you guys know that marketers use a number of tools, channels and information online to build relationships, tap various opportunities and also for creating a brand identity? Virtual Marketing has the potential to market products and services in the digital environment. It uses data for marketing products and services to the target audience by way of online marketing strategies. It makes use of digital techniques for strategically promoting products and s...

  Circular Flow of Income Definition : Circular flow of Income refers to the movement of money and goods, in the economy, across the various sectors, i.e. household, firm, government and foreign sector, in a circular flow. An economy can be defined as a unified arrangement of production, distribution, exchange, consumption and investment. These processes play a crucial role in the survival and growth of the economy. Consumers buy the goods and services produced by the producers for money, which generates income. And so, the income generated in the process moves in a circular motion. This is called the circular flow of income. Further, it is an ongoing process, as there is no end to the flow. Economic Sectors An economy is classified into four broad sectors, these are: 1.    Household Sector : This sector covers consumer of goods and services, who buys them for their personal consumption. The household sector owns the inputs, i.e. factors of production and render...