Financial Instituation

A company engaged in the business of dealing with financial and monetary

transactions such as deposits, loans, investments, and currency exchange is called
financial instituation .

Financial instituation in Pakistan

➢ Central bank (State bank of Pakistan)
➢ National bank of Pakistan
➢ Habib bank limited
➢ United bank limited
➢ Bank Alflah limited
➢ Bank of punjab

Down payment
A down payment is paid upfront in a financial transaction, such as
purchasing a home or car. Buyers often take out loans to finance the
remainder of the purchase price. The higher the down payment, the less
the buyer will need to borrow to complete the transaction and reduce the
interest paid over the long term.

Loan
A sum of money that one or more individuals or companies borrow from
banks or other financial institutions so as to financially manage planned or
unplanned events.

Intrust
Interest is the amount of money a lender or financial institution receives for
lending out money. Interest can also refer to the amount of ownership a
stockholder has in a company, usually expressed as a percentage.

Income Tax
It is a tax levied by the Government o on the income of every person.
Commission
A commission is a fee paid to a person or company for executing a
transaction, such as selling real estate, insurance, or securities. The
payment can be based on either a fixed or variable amount and is typically
a percentage of the total sale.

Prime Cost
Prime costs are a firm's expenses directly related to the materials and
labor used in production. It refers to a manufactured product's costs, which
are calculated to ensure the best profit margin for a company. The prime
cost calculates the direct costs of raw materials and labor that are involved
in the production of a good. Direct costs do not include indirect expenses,
such as advertising and administrative costs.

What Is the Formula and Calculation of Prime Cost?

Prime cost=Direct raw materials+Direct labour