Tier 1 Capital: Definition, Components, Ratio, and How It’s Used.

Tier 1 capital refers to a core set of assets that banks are required to hold to cushion against losses. What are the components of core capital? Core capital consists of a bank’s Tier 1 capital, which is composed of the following: – Common stock – Retained earnings – Undistributed profits – Non-cumulative preference shares … Read more

What is an inventory?

The meaning of inventory is the set of articles or merchandise that accumulates in the warehouse pending to be used in the production process or sold. Another definition of inventory linked to the economic sphere is the ordered list of goods of an organization or person, in which in addition to stocks, other types of … Read more