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what are the three basic acounting principles.what is
account reconcilliation.what is portfolio management
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Answer Posted / dhanesh deshpande
@ There are three basic rules in Accounting.
# Personal Account
--- Dr the receiver and Cr. the Giver
# Impersonal Account
* Real A/c.
--- Dr. What comes in and Credit what goes out
* Nominal A/c.
--- Dr. All Expness & losses and Cr. all Income and
gaines
@what is portfolio management-
The art and science of making decisions about investment
mix and policy, matching investments to objectives, asset
allocation for individuals and institutions, and balancing
risk against performance.
1. To earn a positive return (=yield) on their capital.
2. To insure his investments against risks (=to hedge).
3. To receive information identical to the that of ALL
other investors - complete, accurate and timely and to form
independent judgement based on this information.
4.To alternate between investments - or be compensated for
diminished liquidity.
5. To study how to carefully and rationally manage his
portfolio of investments.
6.To compete on equal terms for the allocation of resources.
7. To assume that the market is efficient and fair.
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