Role and Functions of Central Bank NRB and Commercial Bank. Explain the functions of commercial banks.
Commercial banks are profitable organizations promoting trade, commerce as well as monetizing the economy. Functions of Commercial banks are stated in BAFIA,2073. Some of the major functions are:
-Deposit Collection of individuals/institutions (Current Deposit, Saving Deposit, Fixed Deposit, Call Deposit, Margin Deposit )
-Advancing Loans to individuals and institutions (Short Term Loan, Long Term Loan, Working Capital Loan, Term Loan, Consumer Loan, etc.
-Credit Creation through credit multiplier of primary deposit by which credit facility multiplies.
-Trading of Bullion/Silver
-Remittance of money (through draft, fax, swift, ABBS, etc)
-Trade Finance (LC, Bank Guarantee, Trust Receipt Loan, etc.)
-General Utility Functions (Safe deposit locker of valuable items, Merchant
Banking, ATM, E-Banking, Utility payment, Dealing in foreign exchange, etc.) -Agency Functions [Collection and Payment of credit instruments (cheques, Bills
of Exchange, Promissory Notes), sale and purchase of securities, Fund Transfer,
etc.]
Others (Technical consultancy, Government Transactions, Stock and
Brokerage Services Banc assurance, etc.)
Explain the functions, duties and powers of Nepal Rastra Bank.
Ans. The functions, duties and powers of Nepal Rastra Bank as mentioned in Section 5 of NRB Act, 2058 are as follows:
(a) To issue bank notes and coins;
(b) To formulate and to implement necessary monetary policies in order to maintain price stability
(c) To formulate and to implement foreign exchange policies
(d) To determine the system of foreign exchange rate;
(e) To manage and operate foreign exchange reserve;
(f) To issue license to commercial banks and financial institutions to carry on banking and financial business and to regulate, inspect, supervise and monitor such transactions; (g) To act as a banker, advisor and financial agent of Government of Nepal;
(h) To act as the banker of commercial banks and financial institutions and to function as the lender of the last resort;
(i) To establish and promote the system of payment, clearing and settlement and to regulate these activities; and
(j) To operate open market transaction through necessary instruments for liquidity management,
(k) To implement any other necessary functions in order to achieve the objectives of the Bank under this Act;
What are the principles of central bank? Explain in brief.
Ans. A central bank is an independent national authority that isues monetary policy, regulates banks, and provides financial services including economic research. Its goals are to stabilize the nation's currency, keep unemployment low, and prevent inflation. The principles of central bank are as follows;
To work in the principle of national interest. Act as the monetary body of the country Perform open market operations
Act as debt reservoir and lender of last resort Free from political interference
Free from competition
Act as a government banker
Work as banker of commercial banks and financial institutions
Write down the differences in functions of central bank and commercial bank.
A central bank is a bank that provides financial and banking services to the government and commercial banking systems, as well as implementing monetary policy and issuing currency. Similarly, a commercial bank is a bank which works to collect the public's deposits, distribute loans to the general public, transfer money, etc.
The differences in functions of these two banks are:
Central Bank's functions Commercial Bank's functions
Works to regulate and supervise the banking
system of the economy as a whole. Directs the commercial banks in the banking
business without direct contact with the general public.
Controls the flow of money into the market by
issuing notes and currency. Operates under state ownership.
Plays the role of custodian of foreign exchange.
It does Credit control
Serves as a banker of the government and of
commercial banks and other financial
institutions.
It can have branch only within a country.
Does business under the direct regulation and
supervision of the Central Bank.
Deposit collection and credit flow work in direct contact with the general public.
The bank acts only to regulate and assist the
flow of money without drafting any
currency.
Works in state or private ownership. Performs foreign exchange business with the
approval of the Central Bank.
Works to create credit (credit creation). Acts as an agent of a central bank.
Performs foreign exchange business with the
approval of the Central Bank.
Explain the functions, duties and powers of Board of Directors of NRB.
Ans: The formation of Board of Directors of NRB and its functions, duties and powers are mentioned in Chapter 3 of NRB Act, 2058.
Functions, Duties and Powers of the Board
(a) To frame monetary and foreign exchange policies;
(b) To take necessary decisions with regard to the denominations of bank notes and coins and to frame appropriate policies with regard to their issue;
(c) To frame policies for supervision and inspection of BFIs and banking and financial arrangement.
(d) To approve Rules and Bye-laws of the Bank and to frame policies for its operation and management
(e) To frame policies relating to the service of the employees of the Bank like appointment, promotion, transfer, dismissal, remuneration, pension, gratuity, provident fund, leave, code of conduct and other terms and conditions;
(f) To approve the annual programs, budget and annual auditing of accounts of the Bank, and to submit its report to Government of Nepal
(g) To approve the annual report on the activities of the Bank;
(h) To frame necessary policy for the issue and revoking of license to BFIs
(i) To approve the limit of the loan to be provided to Government of Nepal by the Bank;
(j) To fix the amount, limit and terms and conditions of the loan and refinance which the Bank provides to the BFIs, etc.
Explain the role of commercial banks in development of nation.
Ans: Commercial bank is a type of financial institution which accepts deposits, disburses credit and provides basic financial services like remittance, foreign currency exchange, etc.
The role of commercial banks in the development of nation can be described below: - Works to assist in capital formation
- Expansion of credit by the act of credit creation
- Consolidated funds invested in productive sector
- Creates jobs for the youth
- Works with the government to transfer the budget from the center to the local body - Assist in the development of the industrial sector
- Expansion of financial sector
- Assistance in foreign trade business
- Assist in the development of the agricultural sector
Book Keeping and Accounting: Objective, Scope, Function; Double Entry System.
What are the feature of double entry system?
Ans. Double entry system is a system under which each transaction is regarded to have two-fold aspects and both the aspects are recorded to obtain the complete record of dealings. The features of double entry system are:
Based on double effect concept: every transaction has two sided effects, debit and credit.
Both debit and credit sides are equal.
Versatile system, so can be changed as per the requirement.
System having scientific principle and concept
Transactions are recorded in systematic and chronological order.
Helps to control costs.
Simple system although being scientific and helps to conduct audit effectively. Used worldwide as being systematic and trustworthy.
Write down the objectives of book keeping and accounting.
Ans. Bookkeeping and accounting are two functions which are extremely important for every business organization. In the simplest of terms, bookkeeping is responsible for the recording of financial transactions whereas accounting is responsible for interpreting, classifying, analyzing, reporting, and summarizing the financial data.
The objectives of book keeping and accounting are: to maintain systematic record
to ascertain the financial position of business to ascertain the operational profit or loss
to facilitate rational decision making
to provide knowledge of debtors and creditors
to provide knowledge of purchase and sales
to provide knowledge of cash and bank balance to provide knowledge of closing stock and goods to act as a basis of income tax and VAT.
Hence, the overall objective of book keeping and accounting is to properly enter all financial transactions as well as to provide financial information through financial statements to the management, shareholder, government and all the other stakeholders.
Write down the advantages and disadvantages of double entry system.
Ans. Double entry system is the most scientific and accurate system of accounting, where each transaction has two equal but opposite folds, namely debit and credit. The advantages and disadvantages of this system are:
- easy record maintenance
- complete accounts of transaction
- Determining results become easier
- Clarity regarding assets and liabilities
- Helps to maximize income and minimize expenditure
- Detection of frauds and errors
- Accounting information easily available
Disadvantages
- Lots of paperwork involved
- Complex system
- Expensive system
- Qualified persons having accounting knowledge required - Chances of mistakes and errors
- Small business don't prefer this
- Secrecy of information not maintained
Double entry system, despite being an accurate and complete system has some disadvantages, too. These days, due to several accounting softwares, double entry system has become easier through computerized data entry system.
Explain the types of accounts relating to debit and credit principle of double entry system.
Ans: Double entry system is a system of accounting having two equal but opposite folds, namely debit and credit. The traditional types of accounts as per this system are:
1. Real Accounts
All assets of a firm, which are tangible or intangible, fall under the category “Real Accounts“. Tangible real accounts are related to things that can be touched and felt physically. Few examples of tangible real accounts are building, machinery, stock, land, etc.
Intangible real accounts are related to things that can’t be touched and felt physically. Few examples of such real accounts are goodwill, patents, trademarks, etc.
Golden rule for real accounts
Debit what comes in Credit what goes out
2. Personal Accounts
These accounts are related to individuals, firms, companies, etc. A few examples of personal accounts include debtors, creditors, banks, outstanding/prepaid accounts, accounts of credit customers, accounts of goods suppliers, capital, drawings, etc. Golden rule for personal accounts
Debit the receiver
Credit the giver
3. Nominal Accounts
Accounts which are related to expenses, losses, incomes or gains are called Nominal accounts. The dictionary meaning of the word “nominal” is “existing in name only” and the meaning remains absolutely true in accounting sense too, because nominal accounts do not really exist in physical form, but behind every nominal account money is involved. E.g. Purchase A/C, Salary A/C, Sales A/C, Commission received A/C, etc. The final result of all nominal accounts is either profit or loss which is then transferred to the capital account.
Golden rule for nominal accounts
Debit all expenses & losses Credit all incomes & gains
Write down the scope of book keeping and accounting.
Book keeping and accounting are two tasks that are very important to every business organization. In simple terms, book keeping is responsible for recording financial transactions while accounting is responsible for the interpretation, classification, analysis, reporting and summary of financial data.
The following are the areas of accounting accounting:
- Keeping financial records
- Preparation of ledger accounts
- Recording financial transactions on the basis of accounting standards - Appoint appropriate manpower for accounting etc.
Therefore, the scope of book keeping sets forth specific guidelines for the accounting method. The accounting method starts only after the book keeping is completed.
The scope of accounting includes:
- Data collection and preparation
- Data processing and evaluation using accounting standards
- Convert data to appropriate reports (such as profit and loss statement, balance sheet, cash flow statement, etc.)
- After the preparation of the financial report, reporting to the shareholders, the government, concerned agencies and stakeholders
Therefore, the scope of accounting includes reporting all financial information after recording financial transaction by book keeping.
Cheque, Draft and Bill Collection: Types, Handling and Reconciliation.
Differentiate between Cheque and Draft.
Both cheque and draft are negotiable instruments as mentioned in Negotiable Instruments Act, 2034. Their differences are as under:
Cheque
1. Cheque is a negotiable instrument which contains an order to the bank, signed by
the
drawer, to pay a certain sum of money to a
specified
person.
Draft
1. Demand Draft is a negotiable instrument used for the transfer of money from one
place
to another.
Always payable to order of a certain 2. person.
3. Demand Draft is issued by a bank.
4. There are bank charges for draft.
5. Bank itself is the drawer.
Two Parties are involved- Drawer and
6. Payee.
7. Draft is not dishonoured.
2.Payable either to order or to bearer.
3. Cheque is issued individual/organization.
4.No Bank Charges. Customer of the bank is
by
an
5. drawer.
Three Parties are involved- Drawer,
6. Drawee, Payee.
7. Cheque may be dishonoured due to
insufficient balance or similar other reasons.
What is a cheque? Explain the types of cheque.
A cheque is an order through which money can be withdrawn from a bank. Cheque is given to the customer for the purpose of withdrawing the money generated by the bank. It is an exchange that is drawn on the bank and will be paid immediately upon demand. A cheque is a demand form for a customer's account. It is an order written by a person or business organization to give certain amount to a certain person or organization from their account in the bank.
Such order should be in a paper copy made by the concerned bank in the format prescribed in accordance with the NRB Act. According to author AN Agrawal, "Cheque is an unconditional order issued by the issuer to the designated bank to pay the specified amount to the person holding the device (cheque)."
The types of cheques are as follows:
A. Bearer cheque
A cheque written to pay the cheque that the bank presents or brings to the concerned bank is called bearer cheque.
B. Order Cheque
A cheque whose payment is made to a particular person in the bank or other person ordered by the customer. This payment is made only after the person receiving the payment has signed the back of the cheque. It is somewhat safer than bearer cheque.
C. Crossed cheque
An crossed cheque is a cheque prepared as per the process of underlining the cheque to indicate that the payment should be made only by depositing in a bank account. It has two parallel lines drawn on the left side of the cheque.
General Crossed cheque
General Crossed cheque can be deposited to some account. Sometimes it is possible for the person to receive payment by depositing it in the account of someone other than the person concerned.
Special Crossed Cheque
The underlined cheque has A / C Payee written in parallel lines. This cheque will be very secure as payment of this cheque is made only to the person or entity deposited in the account.
What is a bank draft? Explain the types of bank draft.
Bank draft is a pre-paid Negotiable Instrument, wherein the drawee bank undertakes to make payment in full when the instrument is presented by the payee for payment. From the beginning to the end of the draft, the following four parties are involved in various ways.
A. First party -
Sender B. Second
Party - Payee
C. Third Party - Draft Drawing Bank D. Fourth party - the paying bank
The major types of bank draft are as follows:
a. Cashier's Cheque: Cashier's cheques are drawn against the funds of the bank,
and the bank provides a guarantee of payment when the cheque is presented. Cashier's cheques
originate either with a cash payment or by debiting the account of the customer making the payment. Bank account of customer is not mandatory and this type of draft is used especially for real estate and brokerage transaction.
b. Certified Cheque: Certified cheque is a draft where customer signs his cheque and bank official does the counter signature, thus providing guarantee of payment. It is known as manager's cheque or treasurer's cheque.
c. Money Order: It is a payment instrument just like cashier's cheque but the amount is limited. Such drafts are issued by non-banking financial institutions, post offices, etc. Globally, such a draft is usually no more than $ 1000.
What are the points to be remembered by a bank staff while handling cheques? Mention. Ans: Cheque is a type of negotiable instrument which a bank has to pay on demand. A bank's
staff should keep in mind the following points in cheque handling:
- Date of cheque should not be more than 6 months old or nor should be of future date.
- If the cheque is bearer, it should be paid to the bearer, if it is order cheque, should be paid after verifying identity and if the cheque is cross cheque, it
should be deposited in payee's account
- Amount should be paid only if the balance in account is sufficient
- Amount should be equal in words and letters.
- Signature done on the face of cheque by account holder should be verified from CBS.
- If the cheque is endorsed, signature should be there at backside at appropriate place and it should be verified.
- The ink in writing should be same in cheque (as per NRB, only black ink)
- If cash is demanded, denominations should be filled at the backside of the cheque
- If customer wants to make bank draft from cheque, same should be
done after proper verification of the beneficiary.
What is bank draft? What are the points to be remembered for proper use/handling of bank drafts?
Bank draft is a pre-paid Negotiable Instrument, wherein the drawee bank undertakes to make payment in full when the instrument is presented by the payee for payment.
From the beginning to the end of the draft, the following four parties are involved in various ways.
A. First party - Sender
B. Second Party - Payee
C. Third Party - Draft Drawing Bank D. Fourth party - the paying bank
The -
-
- -
paid -
points to be remembered for proper use/handling of bank drafts are: Especially for larger sums one should be careful when accepting a banker’s draft due to the number of instances of fake drafts being presented. For example, for the payment of cars.
Banker’s drafts aren’t guaranteed against fraud. If we lose one or it’s stolen, someone else could use it fraudulently. So extra care should be taken.
Every record of each bank draft should be properly recorded.
Any problems in bank draft should be immediately informed to the concerned bank.
Receipt copy should be safely stored once a bank draft is to beneficiary
Whether payment of draft is completed or not, should be inquired either with the bank or with the beneficiary after some days, as the applicant can't know himself.
What is cheque reconciliation? Explain the process of cheque reconciliation.
Ans: Cheque reconciliation is the appropriate medium to show how many cheque payments were made, how many were due, and how many could not be paid by the bank. Cheque reconciliation might be done manually and also through the software.
The cheque reconciliation process consists of the following:
- Details of the cheque issued by the customer are requested.
- The bank looks at the system by which date the cheque presented by the customer is received at the bank.
If the bank does not see the cheque received in its system, then it means
that the cheque is not submitted to the bank.
- Balanced checks are ignored and only unreconciled cheques are taken into account.
- A list of unreconciled checks is prepared and the cheques are searched.
- While some cheques originally lost by the customer may be eventually found, such cheques are considered to be reconciled.
- Some cheques may be mistakenly left in the bank, such cheques are cleared and details are sent to the customer.
- After these the unfound cheques are canceled, so that no one can misuse the cheques.
Balance Sheet: Nature, Purpose and its presentation. What is Balance Sheet? Why is it prepared?
Balance Sheet is a statement presenting the value of assets, liabilities and capital of any organization or firm at point of time. It is also known as a major financial indicator as it shows the condition of assets, liabilities and capital. Balance Sheet can be shown by the accounting equation: Assets= Capital + Liabilities.
Before preparing Balance Sheet, Trial Balance is prepared. And then Profit and Loss Statement is prepared from which net profit/loss is taken to balance sheet and condition of assets, liabilities and capital is known.
Objectives of Preparing Balance Sheet:
to know the financial strength of organization to complete financial statement
to show the financial position
to know the capital structure of organization to analyze solvency capacity
to make able to the stakeholders to analyze the financial health of organization to summarize all capital nature expenditures
to know the net worth of the organization
to assist in auditing
to know the strength and weakness of organization
। How do banks should present Balance Sheet?
Explain.
Ans. Banks and financial institutions should submit financial statements in the NFRS framework as per Nepal Rastra Bank directive 4. Balance Sheet is a key part of the financial statements. Banks present the balance / financial statement in the following manner.
- Annual financial statement should be published in the Annual Report Book and updated on its website after the audit is completed within the stipulated period.
- Balance Sheet must be published annually within nine months after the final audit is conducted.
- The same should be published quarterly with internal audit within 3 days of the end of the quarter.
- The main strategy adopted during the preparation of the quote should be mentioned in the title.
- Regulatory adjustments prescribed by the Rastra Bank have to be made
while preparing the balance.
- Banks should also prepare a group balance sheet of subsidiary companies, if any.
- Banks should upload balance sheet in prescribed excel sheet format in the website www.reporting.nrb.org.np within 15 days after the end of the month.
Write down the items included in presentation of balance sheet.
Balance Sheet is a report of assets and liabilities that periodically summarizes the financial position of the business at a specific point of time. The basic principle of balance sheet is based on the accounting equation, where the sum of the total assets should be equal to the sum of the total capital and liabilities. (Assets=Capital + Liabilities)
In the presentation of balance sheet, capital and liabilities are shown on left side and assets are shown in the right side. Likewise, balance sheet can also be presented vertically, i.e. showing assets and then capital & liabilities.
Balance sheet structure of General organization
Amount
Assets
Amount
Capital
Liabilities
Share Capital Reserve and
surplus
Long Term
Debt
Current liabilities
Total
&
*** Fixed assets ***
*** Investment ***
*** Current assets ***
*** Fictitious assets ***
**** Total ****
Share capital includes: Equity share, preference share, share premium
Reserve and surplus includes: General reserve, surplus, funds
Long term debt includes: Debenture, mortgage, bond, public deposit, bank loan
Current liabilities include: Creditors, payable, outstanding expenses, dues, to be pay, advance income, bank overdraft, provision for tax, provision for dividend
Fixed assets include: Tangible assets like land, building, plant, machineries, furniture & fixtures, vehicles, Intangible assets like goodwill, patent, copyright, trademark, franchises.
Investment includes: Purchase of share, debenture, t-bill, government bond etc.
Current assets include: Debtors (book debt), inventory (Closing stock), cash, bank, receivable, prepaid (advance paid), marketable securities,
Fictitious assets include: Preliminary expenses, discount on issue of share debenture, deferred expenditure, underwriting commission
4. Prepare the presentation format of balance sheet of commercial banks as directed by NRB.
The presentation format of balance sheet of banks is given in Directive No. 4 which is given
below:
Name of the Bank or Financial Institution Consolidated Statement of Financial Position As on .......Asar 20.......
Note Current Year Previous
Assets
Cash and cash equivalent
Due from Nepal Rastra Bank Placement with Bank and Financial Institutions
Derivative financial instruments Other trading assets
Loan and advances to B/FIs
Loans and advances to customers Investment securities
Current tax assets
Investment in subsidiaries Investment in associates Investment property
No.
Year
Property and equipment Goodwill and Intangible assets Deferred tax assets
Other assets
Total Assets
Liabilities
Due to Bank and Financial Institutions Due to Nepal Rastra Bank
Derivative financial instruments Deposits from customers
Borrowing
Current Tax Liabilities
Provisions
Deferred tax liabilities
Other liabilities
Debt securities issued
Subordinated Liabilities
Total liabilities
Equity
Share capital
Share premium
Retained earnings
Reserves
Total equity attributable to equity holders
Non-controlling interest
Total equity
Total liabilities and equity Contingent liabilities and commitment Net assets value per share
Note Current Year No.
Previous Year
5. What is Balance Sheet? Why is it called Statement of Financial Position?
Balance Sheet is a report of assets and liabilities that periodically summarizes the financial position of the business at a specific point of time. The basic principle of balance sheet is based on the accounting equation, where the sum of the total assets should be equal to the sum of the total capital and liabilities. (Assets=Capital + Liabilities)
In the presentation of balance sheet, capital and liabilities are shown on left side and assets are shown in the right side. Likewise, balance sheet can also be presented vertically, i.e. showing assets and then capital & liabilities.
Balance Sheet is also called statement of financial position due to the following reasons: - Displays the status of overall assets and liabilities
- There is no profit or loss calculation of any period as in profit-loss
account, but it shows the financial position of the organization at some
point of time.
- Displays the total position of the shareholders through the shareholder
fund so that the ability to generate sustainable returns can be assessed.
- The interest cost of the organization can be determined by studying the long-term liability of the institution
- Similarly, the position of liquidity required to pay off short-term liabilities can be
understood
- It is possible to see how much the firm's fixed assets and current assets are, and how much the firm is capable of mobilizing working capital using current assets.
- Similar investments made by the entity in securities, fixed assets, etc., of other companies can be studied whether they are risky or with good returns.
Therefore, Balance Sheet is called the statement of financial position as it can completely study the assets, liabilities and shareholders funds of the organization.
Computer Introduction: Windows, Microsoft Word, Microsoft Excel, MIS.
1.0 - 2.0 3.0 – 3.1 95
98
Computer Introduction
1. Windows:
An operating system (OS) is system software that manages computer hardware and software resources and provides common services for computer programs.
For example: Some examples include versions of Microsoft Windows (like Windows 10, Windows 8, Windows 7, Windows Vista, and Windows XP), Apple's macOS (formerly OS X), iOS, Chrome OS, BlackBerry Tablet OS, and flavors of the open source operating system Linux.
Versions of Windows • MS-DOS
• Windows
• Windows
• Windows
• Windows
• Windows
• Windows
• Windows
• Windows
• Windows
• Windows
• Windows
• Windows
Microsoft Windows Features Compatibility & One App Store for all
ME - Millennium Edition NT 31. - 4.0
2000
XP
Vista 7
8
10
Windows is compatible with all the devices such as Xbox, PCs, smartphones, tablets or other tiny gadgets that run the Windows Operating System. Further, it has planned to deliver a Unified App Store for developers so that they can easily create and deploy their applications across multiple device types. Now, it will become very easy for the consumers also to discover, purchase or update the apps. Apart from Modern UI or Universal apps, the Windows Store also supports desktop apps, as well as other digital content.
2. Modern Business Specific
Windows has tried to reduce the business complexities regarding the security, identity and information protection by offering better solutions to such problems. Now, the organizations can also customize an app store according to their needs and environment. This unique app store will support volume app licensing, flexibility distribution and reuse of licenses when necessary.
3. Everything runs in a window
Windows Store apps now opens up in the form of a Window and allows the users to resize or move them around like any other program window. Users can even maximize, minimize or close the app with a click on the title bars at the top of the app window. They are being now called Universal Apps.
4. Multiple Desktops
It’s now easy to create and switch among distinct desktops while working to avoid overlapping of several apps or files on a single desktop.
5. Faster File Search
File Explorer now displays the recently as well as frequently visited files and folders, thereby making it easier to find your files on which you were working.
6. The Command Prompt has common keyboard shortcuts.
2. Word Processing Features (Microsoft Word)
Word processing software offers a variety of features and commands that enable users to create attractive business documents easily and efficiently. This section provides a brief description of many basic features that can be found in most word processing software programs.
BASIC COMMANDS
Basic commands include the operations necessary to view, save, print, and close a document.
■ Open. Displays lists of folders and files (documents). Use this command to locate a desired document and open (display) it on the screen.
■ Save/Save As. Saves a document on a disk while leaving a copy of it on the screen. Use Save As the first time a document is saved (give it a filename) and to rename a document. Use Save to save a revised document without renaming it.
■ Print Preview. Shows a document as it will look when printed, including multiple pages in one view.
■ Print. Prints documents. Select print options and settings (Print dialog box) before printing.
■ Close. Removes a document from the display screen. If the document has not been saved, you will be prompted to save it before closing.
EDITING FEATURES
Editing features allow the user to locate, revise, correct, and rearrange text in a document.
■ Copy. Copies selected text so it can be placed in another location, leaving the original text unchanged.
■ Cut. Removes selected text from the current location.
■ Paste. Places selected text that has been copied or cut at another location.
■ Find. Locates a specified keystroke, word, or phrase in a document.
■ Replace. Finds a specified keystroke, word, or phrase, and then replaces it with another keystroke, word, or phrase. All occurrences of the specified text can be replaced at one time, or replacements can be made individually (selectively).
■ Select. Highlights text on which various operations may be performed. Use the mouse and/or key combinations to select text. Once selected, the text can be bolded, underlined, italicized, deleted, copied, moved, printed, saved, etc.
■ Spell-Check. Checks words, documents, or parts of documents for misspellings.
■ Undo. Reverses the last change made in the text. This feature restores moved
text to its original location.
■ Redo. Reverses the last Undo action.
■ Typeover. Replaces existing text with newly keyed text (also called Overstrike or Overtype).
ENHANCEMENT FEATURES
Enhancement features improve the appearance of a document and/or emphasize important words, phrases, or sentences.
■ Bold. Prints text darker than other copy as it is keyed. Bold may be added after text has been keyed by first selecting the text.
■ Borders. Adds a border to any or all sides of a page, paragraph, or column, as well as to a table or a cell within a table. Page border options may include small pictures. Borders not only enhance appearance, but also make text easier to read by emphasizing certain passages.
Borders are most effective when used sparingly.
■ Bullets. Highlights each item in a list with a heavy dot or other character, as demonstrated in this list of features. Bullets add visual interest and emphasis.
■ Change Case. Changes capitalization. The lowercase option changes all selected text to lowercase; the UPPERCASE option changes selected text to all capitals. The
Sentence case option capitalizes the first letter of the first word, and the Title Case option capitalizes the first letter of each selected word.
■ Drop Cap. Formats paragraphs to begin with a large dropped capital letter. Drop caps are objects (pictures) that can be formatted and sized.
■ Font. Consists of the typeface, style, size, and any effects used. Font features may be changed before or after text is keyed. The number and size of fonts available depends on the software and printer used.
■ Italic. Prints letters that slope up toward the right. Italic may be added after text has been keyed by first selecting the text.
■ Numbering. Shows the proper order of a series of steps or items. Use numbers instead of bullets whenever the order of items is important.
■ Shading. Adds color or patterns to paragraphs or table cells to emphasize them and focus the reader’s attention on the contents.
■ Superscript. Places text slightly higher than other text on a line. Superscript is commonly used for footnotes and endnotes, and for mathematical formulas and equations.
■ Underline. Underlines text as it is keyed. An underline may be added after text has been keyed by first selecting the text.
■ Watermark. Prints any desired text or graphics behind the main text on document pages.
FORMATTING FEATURES
Formatting features change the arrangement, or layout, of pages. These features include aligning text vertically and horizontally, indenting and hyphenating text, and changing margins and line spacing.
■ Alignment: Refers to the horizontal position of a line of text (also called justification). – Use left alignment to start text at the left margin (even left margin). – Use right alignment to align text at the right margin (even right margin). – Use center
alignment to center text between the left and right margins. – Use justify alignment for even left and right margins.
■ Center Page: Centers text between top and bottom margins of a page. This feature leaves an equal (or nearly equal) amount of white space above and below text. Inserting two hard returns below the last keyed line gives centered documents a better appearance.
■ Hyphenation: Automatically divides (hyphenates) words that would normally wrap to the next line. When used with left-aligned text, hyphenation makes the right margin less ragged, making text more attractive.
■ Indent: Moves text away from the left or right margin. – Left indent (paragraph indent) moves the text one tab stop to the right (usually 0.5"), away from the left margin. – Hanging indent moves all but the first line of a paragraph 0.5" (one tab stop) to the right. Hanging indent is commonly used on bibliographies and reference pages.
■ Line Spacing: Changes the amount of blank space between lines of text.
■ Margins: Changes the amount of blank space at the top, bottom, right, and/or left
edges of a page. Default margin settings are not the same for all software.
■ Page Break: Inserts a soft page break automatically when the current page is full. A hard page break can be inserted manually to start a new page before the current page is full.
■ Tab: Aligns text according to the type of tab set. By default, most word processing software programs have left tabs already set at half-inch (0.5") intervals from the left margin. These preset tabs can be cleared and reset. – Left tabs, commonly used to align words, align text
■ evenly at the left by placing the keyed text to the right of the tab setting. – Right tabs, commonly used to align whole numbers, align text evenly at the right by placing the keyed text etc.
3. Spreadsheet (Excel) What is Spreadsheet(Excel)?
A spreadsheet is an electronic document that stores various types of data. There are vertical columns and horizontal rows. A cell is where the column and row intersect. A cell can contain data and can be used in calculations of data within the spreadsheet. An Excel spreadsheet can contain workbooks and worksheets. The workbook is the holder for related worksheets.
Importance of Excel in Banking System
1. Data Entry and Automation
Banks make their money from accurate record-keeping of financial assets. By using several features in Excel, including entering formulas once and cutting and pasting to new cells, and
making cells with formulas that are read-only, Excel greatly reduces the time to make those records and the likelihood of errors.
2. Banking Related Excel Functions
Excel has a number of functions that are designed around invoicing, such as DATE, and EDATE. These functions allow banks to track when payments are due on loans and when to send out statements. They also can be used to track maturity dates on certificates of deposit.
3. Platform For Customized Applications
While Excel's functions (like EDATE) are very flexible, Excel also comes with Visual Basic for Applications, which allows automation of routine tasks, such as end of business day copying of data from workstations to a centralized accounting check point. Most banks have built thousands of macros and customized programs on top of Excel's functionality, which would cost millions of dollars to replace if they were done again from scratch.
4. Analytical Data Presentation
It helps for data analysis of banking related ratios and other informations.
5. Build great charts of interbank information comparison
Excel allows business users to unlock the potential of their data, by using formulas across a grid of cells. Data is inserted into individual cells in rows or columns, allowing it to be sorted and filtered, and then displayed in a visual presentation. Using pie charts, graphs and clustered columns adds meaning to data, which otherwise may just exist as row after row of numbers.
These visualizations can add extra emphasis to business reports and persuasive marketing material. Excel recommends charts most suitable for the type of data being presented on the X and Y axis.
6. Use conditional formatting
Excel users can format their spreadsheets using different color shades, bolds and italics, to differentiate between columns and bring the most important data to the fore. This function could be useful when presenting accounting information, such as the pre-tax profit and the balance being carried forward by the company. Users can select an appropriate coloring scheme via the Quick Analysis button, and then by utilizing the Formatting tab.
7. Help identify trends
When presenting data in the form of charts or graphs, it can be helpful to include average lines, which explicitly detail the key trends emerging from the information. This may help demonstrate the key points to other users in a straightforward manner - for instance, an executive from a different department during a board meeting. Excel allows trend lines to be extended beyond the graph, to offer predictions of future activity - and such forecasts can help businesses develop their future strategy.
8. Bring data together
Excel can be used to bring information from various files and documents together, so that it exists in a single location. As well as raw data and information from other spreadsheets, it is possible to import text and images. Other objects can be added using the Insert tab, or additional spreadsheets can be added to the file.
9. Online access
Excel is available as part of Office 365 Business and Office 365 Business Premium. This means business leaders and employees have access to the program from a range of devices, from almost any location. Providing they have a web-enabled PC, laptop, smart phone or tablet it should be possible to access Excel, making remote and mobile working viable.
10. Research analysis
Excel can be of a great use in research analysis, data collection and interpretation. It provides enormous capacity to do quantitative analysis, letting you do anything from statistical analyses of databases with hundreds of thousands of records to complex estimation tools with user-friendly front ends. And unlike traditional statistical programs, it provides an intuitive interface that lets you see what happens to the data as you manipulate them.
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