Q Different types of business finance

Ans 1:Long term finance; Funds which r required to be invested in the business for a long period are know as long term
finance. This type of finance is use for aquiring fixed assets such as land, building, plant&machinery
2:Medium term finance;Business firms often need funds for a period exeding one year n not more than five years
for a particular purpose is known as medium term finance. They may include expences on modernasiton of plant and
machinery,introducing a new product
.Manufacturing industry are more often in need of such finance
3;Short term finance; It refers to fund needed to meet day today requirements and for holding stock of raw
materials , spare parts to be use for current operations.

Q. What u mean by equity shares

Ans)The amount raised by the issue of equity shares is known as equity share capital Equity capital represents ownership
capital as equity share holders collectively own the company.The liability is generally limited.

Q. What Does Debenture Mean?

A type of debt instrument that is not secured by physical asset or collateral. Debentures are backed only by the
general creditworthiness and reputation of the issuer. Both corporations and governments frequently issue this
type of bond in order to secure capital. Like other types of bonds, debentures are documented in an indenture.

Shares?
Evidence of ownership that represents an equal proportion of a firm's capital. It entitles its holder (the shareholder) to an
equal claim on the firm's profits and an equal obligation for the firm's debts and losses. Two major types of shares are (1)
ordinary shares (common stock), which entitle the shareholder to share in the earnings of the firm as and when they occur,
and to vote at the firm's annual general meetings and other official meetings, and (2) preference shares (preference stock)
which entitle the shareholder to a fixed periodic income (interest) but generally do not give him or her voting rights. See also
stock

Q. What is indent house?

Ans.The importer can place the indent order either directly with the exporter or with certain middle man who specialize in
such trade these houses are also called as indent firms they import goods from foreign countries on orders recived from
home traders. The indent houses maintained contracts with the foreign manufacturers or shippers who send the sample of
the products to them. Indent houses mostly have their agents in foreign market many indent houses in India also help in
exploring new market for Indian goods . indent houses collect order from large numbers of small importer and place them
with foreign manufacturers.

Q.What is WTO?
Ans.The world trade organization was set up in Geneva ion1995. The WTO is charged with further development of the
multi lateral trading system along the the principals folled by the 8 rounds of trade negosiation conculed under the GATT.

Q. What is bill of lading?

Ans. A bill of lading is a document issue by the shiping company which acknowledges the recipt of the goods specified ther
in for transpoting in its ship to the port of destination in return for the payment of freight.

Q.What is ments by mates recipt?

Ans. When the goods have been loaded the captain of the ship or his called Matewill issue a recipt know as Mates recipt.

Q.What is ment by shipping order?

Ans.Shiping order is an order to an captain ofs hip to recive on boat . the specified goods from the exporter named in the
document.

Q. What do you mean by export processing zones ?

Ans. These zones are located near airports or seaports in these zones raw materials, intermediate products, equipments and
machinaryare alloved to be imported without payment of custom duty.
Objectives
1.To earn foreign exchange
2.To create employment
3. to create link between EPZ industries
4.To acquire an update labour and management skills.