|
The role of cash and credit Done: Sotivoldiyev Sarvarbek
|
| Sana | 02.01.2023 | | Hajmi | 1.04 Mb. | | #37407 |
Bog'liq The role of cash and credit 2 233530-72882, Бабур Done: Sotivoldiyev Sarvarbek What is cash? Cash is the currency of the state used by the population and expressed in physical equivalent. Banknote (English bank - bank, note - receipt) is a "hybrid banknote" printed on cotton paper, sometimes made on the basis of linen, abaca, special types of plastic or their mixture. In ancient times, banknotes were made of dense fabric (usually silk), leather, wood or metal, and were usually rectangular in shape.
Advantages of cash
***
-cash does not require any technical devices, mobile or internet connection;
-cash is a commonly accepted means of payment;
-cash does not require additional commission costs for card and money transfer services.
***
Disadvantages of cash
The downside is that your cash is more likely to be stolen or lost, leaving you with all the money in your wallet.
cash also does not meet hygiene requirements.
Credit (lat. creditum - debt, credo - I believe, I agree) - lending money, goods and services for a certain period of time with the condition of paying back an agreed rate (interest). The lending party is called the creditor (state, bank, enterprise, private person, etc.), and the borrowing party is called the debtor (debtor).
What is credit?
Advantages of credit
-Able to buy needed items now without cash and pay later
-Don`t have to carry large amounts of cash
-Creates record of purchases
-More conconveniet than check
Disadvantages of credit - Paying interest- it`s an extra costs beyond the orginal costof the good or servise
- Hight interest rates on credit cards
- May carry additional fees if you pay late
- Etc…
What is credit card A credit card is a bank card that allows you to pay for goods and services without cash using the bank's credit funds. Thank you!
|
| |
