(a) Banking Department: The bank has seven offices of Banking Department
(i) Public Accounts Department
(ii) the Public Debit Office
(iii) Deposit Accounts Department
(iv) Securities Department.
(b) Issue Department:
(i) General Department,
(ii) Cash Department.
(c) Central Policy Department:
(i) Credit Planning Cell
(ii) Personal PolicyDepartment.
(iii) Administration Department.

(i) Exploiting Natural Resources
(ii) Heavy outflow of Capital
(iii) Not transferring Technology
(iv) Exploiting cheap labour
(v) Creating Monopolistic Environment

Economic objectives of business refer to the objective of earning profit and also other objectives that are necessary to be pursued to achieve the profit objective, which includes creation of customers, regular innovations and best possible use of available resources.

The buying and selling of goods and services consists of trade. The essence of trade is to make goods and services available to those persons who need them and are able and willing to pay for them.

International business denotes all those business activities which take place beyond the geographical limits of the country.

Private Capital consists of Foreign Investments, long-term loans, and Foreign Currency Deposits.

1. Every businessman earns prosperity from business and should give back the benefit of this prosperity to society.
2. This is voluntary.
3. This benefit is the moral responsibility of business.
4. As this benefit is supposed to be passed on to society, it can be said to be Social responsibility of Business.

(i) The carrier, accepting goods for transport, issues way bills in the name of the consignors or consignees.
(ii) It is also an acknowledgment of receipt of goods for transport by the carrier.
(iii) It is an evidence of the contract of transport. It is also a document of title of goods.

(i) Bata corporation
(ii) Coca-cola corporation

The non-corporate enterprises are sole trading concern, partnership firm and Joint hindu family business.

The Legal rules of offer are:
(i) An offer must be are intended to give rise to legal consequences.
(ii) An offer must be intended to create legal relations.
(iii) The terms of an offer must be certain or capable of being made certain.
(iv) An offer must be distinguished from an invitation to offer or quotation.
(v) A general offer must be distinguished from a sped fie offer.
(vi) A general offer must be distinguished from a standing offer or tender.
(vii) Offer must be communicated.
(viii) Attention of the offeree must be drawn to the terms and conditions of the offer.

The procedures relating to export trade are:
(i) Receiving trade enquiry.
(ii) Receiving indent and sending confirmation.
(iii) Arranging Letter of Credit.
(iv) Obtaining Importer Exporter Code (lEC) and RBIcode Number.
(v) Obtaining Registration cum Membership Certificate (RCMC) from Export Promotion Council/Commodity Board.
(vi) Manufacturing/procuring goods and packing items.
(vii) Export Inspection Certificate.
(viii) Insurance of goods.
(ix) Certificate of origin.
(x) Consular invoice.
(xi) Engagement of forwarding agent. .
(xii) Dispatch of goods to port and sending the receipt to agent.
(xiii) Fulfilment of Customs Formalities by Forwarding Agent.
(xiv) Customs Clearance.
(xv) Preparation of commercial invoice and submitting documents to bank.
(xvi) Securing Payment.

'Indemnity' means, 'to make good the loss suffered'. The principle of indemnity is applicable to property insurance alone. Insurance contracts are contracts of indemnity. This means that, the insured should be placed after a loss, in the same position as he was immediately before the loss. This principle ensures that the insured does not make any profit out of insurance. 

Dissolution of partnership means the termination of the original partnership agreement. A partnership is dissolved by insolvency, retirement, expiry or completion of the term of partnership. The business will continue after dissolution of partnership. For example, A, B and C are partners in a business. If  'A' retires, 'B' and 'C' can continue the business which is known as dissolution of partnership.

1. Business exists to supply goods and services to the people from social point of view but from individual point of view, the primary objective of any Business unit is to make profit.
2. The individual objective should not be in conflict with societal objective.
3. These two objectives normally contradict each other, as one Business enterprise may be good in individual objective and bad at Societal objective and vice versa.
4. This raises the question of what is right and what is wrong.
5. The subject matter of Ethics is concerned with establishing linkages between individual good and social good. Ethical standards are often enacted into laws.
For Example : Charging fair prices to customers, using fair weights for measurement of commodities, giving fair treatment to workers, earning reasonable profits, etc.

The MSME sector contributes about 8% to Gross Domestic Product (GDP) besides 45% to the total manufacturing output and 40% to the exports from the country on the production of more than 6000 products. This sector consists of 36 million units and provides employment to over 8 crore people.

1. NEFT- National Electronic Funds Transfer was launched by the RBI in 2005.
2. Under this electronic funds transfer system, bulk transfer of transactions are settled in batches during specific timings across India.
3. Individuals and institutions which maintain accounts with a NEFT enabled bank branch are eligible for using NEFT.

In the aforesaid circumstances, A shall be entitled in two-way remedy.
(i) Right of rescission,
(ii) Right to claim damages.
(1) Since, as per facts, A willfully abstained herself. B shall be within his right to rescind the contract.
(2) In such circumstances, section 75 of the Indian Contract Act, 1872, provides that a person who rightfully rescind a contract' is entitled to a compensation for any damage which he has sustained for non-fulfilment of the contract.
(3) B, shall, therefore, be entitled, not only to do away with the services of A but also to claim compensation for the damages which he has sustained through the non-fulfilment of the contract.

Income aggregated after adjusting past and present losses and the total so arrived at is known as 'Gross Total Income'.

A channel is the route through which the goods are passed on to the ultimate consumer. There are direct channels or routes of distribution without middlemen. Indirect channel consists of one or more middlemen performing different functions. Middlemen help in the flow of goods towards the lakhs or crores of consumers.

The demerits of Foreign Trade are:
(i) Complicated procedure:
Export and import procedures are very complicated. A layman cannot understand them easily.
(ii) Economic dependence:
The underdeveloped country has to depend on the exporting country which leads to the exploitation of the developing country.
(iii) Adverse effect on the home industry:
International trade provides a threat to the smalland cottage industries at home. These industries cannot stand in competition to the developed countries products.
(iv) Import of harmful goods:
Import of luxury goods and harmful drugs hamper the well being of the people,
(v) World war:
Due to unhealthy competition, enmity among the countries may increase. This may lead to war between countries.
(vi) Political dependence:
It may make one country a slave of other country. Because economic dependence endangers the political stability of the dependent country.
(vii) Exhaust of natural resources:
With the intention of earning more money excessive use of natural resources may take place. This will cause the economic downfall of the country in the long run.

Tata Group is the best example for the corporate social responsibility in India. The Tata Group conglomerate in India carries out various CSR projects, most of which are community improvement and poverty alleviation programs. Through self-help groups, it is engaged in women empowerment activities, income generation, rural community development, and other social welfare programs. In the field of education, the Tata Group provides scholarships and endowments for numerous institutions.

Reduced risk:
The franchisee will acquire the right of running an already established business, thus eliminating the risk of starting a new business.
Business expansion:
Franchising provides an opportunity to expand business at regional, national and global levels without incurring additional expenditure. Thus rapid growth of franchisor's business is facilitated. 
Cost of advertising:
The cost of advertising for the franchisor will be reduced since this cost will be shared by the franchisee. Moreover, it enables the franchisor to reap the benefits of increased visibility across regional and national boundaries.
Operational support:
The franchisee is provided assistance in not only obtaining finance, but also in deciding business location, decor /design, staff training, and handling day to day operations.

Ocean transport may be divided into two broad categories.
a) Coastal shipping :
Coastal shipping constitutes an important means of transport in all countries having a long coastline. It is a cheap means of transport for the movement of bulky cargoes like coal, iron ore etc. to domestic ports of country. Usually, coastal shipping trade of· a country is reserved for national shipping. In India, Coastal shipping trade is now exclusively reserved for Indian ships.
b) Overseas shipping :
It means the passengers and goods have to cross ocean. Example India export goods to America.

(a) Analytical Industry :
Analytical Industries analyses and separates different elements from the same materials, as in the case of oil refinery.
(b) Genetic Industry: 
(1) These Industries remain engaged in breeding plants and animals for their use in further production.
(2) The seeds nursery companies, poultry, dairy, piggery, hatcheries, nursery, fisheries, apiary, etc. are classic examples of genetic industries.
(c) Construction Industry:
These Industries are involved in the construction of Buildings, Dams, Bridges, Roads, as well as tunnels and Canals.
d) Extractive Industries:
These industries extract or draw out products from natural sources. Extractive industries supply some raw materials that are mostly products of geographical and natural environment.

(i) Convenience of Buying:
(1) The Departmental stores provide great convenience to all the members in a family buying almost all goods of their requirements at one place.
(2) A large variety of goods available in all the departments enable customers to save time and no need to run from one place to another to complete their shopping.
(ii) Attractive Service:
It aims at providing maximum services and facilities to the customers such as home delivery of goods, execution of Telephone orders, rest rooms, restaurants, saloons, children game centres, etc.
(iii) Central Location :
These stores are usually located at Central places so that more people can approach easily.
(iv) Elimination of Middlemen:
(1) A Departmental store combines both the functions of retailing as well as warehousing.
(2) They purchase directly from manufacturers and operate separate warehouses. It helps in eliminating undesirable middlemen between the producers and consumers.
(v) Economics of Large scale operations:
The departmental stores are organised at a large scale i.e. buy goods in bulk, therefore they enjoy the benefit of special discount. In turn, the customers get their goods in quality and lower price.

There are four types of damages which can be claimed by the aggrieved party.
(i) Ordinary damages
(ii) Special damages
(iii) Vindictive or Exemplary damages and
(iv) Nominal damages
(i) Ordinary or General damages:
(1) Damages that arise in the ordinary course of events from the breach of contract are called ordinary or general damages.
(2) These include damages, which are the natural and probable consequences of the breach of the contract.
(3) For Example A contracted to sell and deliver B 50 bags of rice at Rs 1400 per bag and price to be paid at the time of delivery.
(4) The price is raised to Rs1500 per bag and A refused to sell the rice. B can claim damages at the rate of Rs100 per bag.
(ii) Special damages:
(1) Special damages are those damages that are payable for the loss arising on account of some special or unusual circumstances.
(2) That is, they are not due to the natural and probable consequences of the breach of the contract.
(3) For Example A entered into a contract with B, to supply B 500 tons of iron at Rs 100 a ton, to be delivered at a stated time, and at the same time contracted with C for the purchase of 500 tons of iron at Rs 80 a ton; telling C that he does so far the purpose of performing his contract with B.
(4) C failed to perform his contract with A, who cannot procure the iron and B, in consequence, rescinded the contract.
(5) C must pay to A Rs10,000 being the profit which A would have made by the performance of his contract with B.
(iii) Vindictive or Exemplary damages:
(1) These damages are awarded against the party who has committed a breach of the contract with the object of punishing the erring as defaulting party and compensating the aggrieved party.
(2) Generally these damages are awarded in case of action on loss or breach of promise.
(3) Example breach of contract to marry, dishonour of customers' cheque by the bank without any proper reason.
(iv) Nominal damages:
(1) Nominal damages are awarded to the aggrieved party when there is an only technical violation of the legal rights.
(2) Here no substantial loss is caused. These damages are very small in amount.

Benefits of WTO:
Some of the major benefits of WTO are as follows:
(i) WTO is promoting international peace and creating a conducive environment for conducting international Trade.
(ii) It settles the Trade disputes amicably among the member countries.
(iii) It promotes the standard of living of people by increasing their income level from free trades.
(iv) WTO has removed quantitative restrictions and non-tariff barriers. It has facilitated free flow of foreign trade among the member countries.
(v) The countries can impose import restrictions only to correct balance of payments difficulties and not otherwise.
(vi) It stimulates economic growth of developing countries by providing them with much needed capital and giving them preferential treatment in trade and related matters.
(vii) WTO organises periodical regional and international conference. Thus developing countries get opportunity to learn the technicalities, rules and regulations, governing world trade, technical assistance available globally, trade potentials in member countries and so on.
(vii) WTO gives people across the world a wider choice of goods and broader range of qualities to choose from by promoting free trade among the member countries.
(viii) WTO has lowered trade barriers and thereby allowed trade to flourish across the world. The increase in trade contributes to increase in national income and personal income of people.
(ix) WTO provides a platform for member countries to establish trade link with one another.
(x) In the absence, of WTO member countries may have to - enter many multilateral agreement with so many countries across the world.
(xi) It provides greater access to all nations under one roof.
(xii) WTO is committed to protecting free trade. It has framed rules on subsidies and dumping.

(i) Indias' representative in the world Financial Institutions:
(1) In order to maintain consistency and harmony with international banking standards the RBI associated with the Basel Committee on Banking Supervision (BCBS - Switzerland) since 1997.
(2) RBI represents Government of India in International Bank for Reconstruction and Development (IBRD i.e. World Bank) and International Monetary Fund (IMF) in which India is a member since 27th December, 1945.
(ii) Regulator and Supervisor of Indian Banking System:
(1) The broad guidelines for all banking operations in the country are formulated by the RBI.
(2) The RBI has power to issue licenses, control and supervise commercial banks under the RBI Act, 1934 and the Banking Regulation Act, 1949.
(3) It conducts inspection of the commercial banks and calls for returns and other necessary information from them.
(iii) Monetary Authority:
(1) The RBI formulates, implements and monitors the monetary policy of the country in order to maintain price stability, controlling inflationary trends and economic growth. It provides advices to the Government concerning agricultural finance, resource mobilization for implementing plans and legislation affecting banking and credit and international finance.
(iv) Closely Monitoring Economic Parameters:
(1) Broad economic parameters such as employment level, price levels and production levels, trade cycles, foreign' investment flows, balance of payments, financial markets, etc., are closely monitored by the RBI in order to achieve economic stability and growth.
(2) The Board of Financial Supervision (a committee of the Central Board of Directors) of the RBI meets at least once in a month (at times every day) to closely monitor all these current developments in the country.
(v) Promptly Responding to New  Challenges:
(1) Whenever challenges arose before Indian Banking System, RBI promptly attend them by issuing Master Circulars and by organising committees to analyse, review and strengthen Indian Banking.
(2) A wealth of information can be found in every Master Circular or committee report.
(3) Example: Gopalakrishnan Committee on "Information security, Electronic Banking", April, 2010.

Registration of Partnership:
The Indian Partnership Act does not make the registration of a partnership compulsory. Registration is optional. But the disabilities of non-registration virtually make it compulsory.
Procedure for Registration:
A statement should be prepared stating the following particulars.
(1) Name of the firm.
(2) The principal place of business.
(3) Name of other places where the firm carried on business.
(4) Names and addresses of all the partners.
(5) The date on which each partner joined the firm.
(6) The duration of the firm.
This statement signed by all the partners should be produced to the Registrar of Firms along with the necessary registration fee. Any change in the above particulars must be communicated to the Registrar within 14 days of such alteration.

Essentials of a Valid Contract:
"All agreements are contracts, if they are made by free consent of the parties, competent to contract, for a lawful consideration and with a lawful object, and not hereby expressly declared to be void" Sec.10.
a) Offer and Acceptance:
There must be two parties to an agreement namely one party making the offer and the other party accepting it.
b) Legal Relationship:
1. The parties must have the intention to create legal relationship between them.
2. An agreement of Social or domestic nature is not at all a contract.
c) Lawful Consideration (quid pro quo):
1. As per Contract Act under Sec.2(d) Consideration means something in return.
2. A contract without consideration becomes invalid.
3. It may be in cash or kind or in any form as specified in the act.
4. Consideration must not be unlawful, immoral or opposed to the public policy.
d) Lawful Object (Section 23):
1. The object of agreement should be lawful and legal.
2. It must not be immoral, illegal or opposed to public policy.
3. Two persons cannot enter into an agreement to do a criminal act.
e) Free Consent (Section 13 & 14):
1. Consent of the parties must be free and genuine.
2. Consent means agreeing upon same thing in the same sense at the same time i.e. there should be consensus-ad-idem.
3. Consent is said to be free when it is not caused by coercion, undue influence, fraud, misrepresentation or mistake.
f) Capacity of Parties (Section 11):
1. The parties to a contract must have capacity (legal ability) to make valid contract.
2. The Indian contract Act specifies that every person is competent to contract provided
a) is of the age of majority according to the Law which he is subject to, and
b) who is of sound mind and
c) is not disqualified from contracting by any law to which he is subject to an alien enemy, foreign sovereigns and accredited representative of a foreign state, insolvents and convicts are not competent to contract.
g) Certainty of Terms (Section 29):
1. The agreement should be clear to the parties of the agreement.
2. The agreement must be precise. For example X informs Y "I agree to sell my car".
3. X has four cars. Here nothing is stated about which car he is going to sell. There is no clarity of terms.
h) Possibility of Performance (Section 56):
1. The terms of the agreement should be capable of performance.
2. An agreement to do an act, impossible in itself cannot be enforced.
3. For example  A agrees to B to discover a new planet.  The agreement is void because the act in itself is impossible to be performed from the very beginning.
i) Not declared Void:
The agreement should be such that it should be capable of being enforced by law. Certain agreements have been expressly declared illegal or void by the law.
j) Necessary Legal Formalities:
1. A contract may be oral or in writing. Where a particular type of contract is required by law to be in writing and registered, it must comply with necessary formalities as to writing, registration and attestation.
2. If legal formalities are not carried out then the contract is not enforceable by law.

1. Voluntary and Open Membership:
Co-operatives are voluntary organizations, open to all people able to use its services and willing to accept the responsibilities of membership, without gender, social, racial, political or religious discrimination.
2. Democratic Member Control:
Co-operatives are democratic organizations controlled by their members-those who buy the goods or use the services of the co-operative-who actively participate in setting policies and making decisions.
3. Member's Economic Participation:
Members contribute equally to, and democratically control, the capital of the co-operative. This benefits member in proportion to the business they conduct with the co-operative rather than on the capital invested.
4. Autonomy and Independence:
Co-operatives are autonomous, self-help organizations controlled by their members. If the co-operative organisation enters into agreements with other organizations or raises capital from external sources, it is done so based on terms that ensure democratic control by the members and maintains the cooperative's autonomy.
5. Education, Training, and Information:
Co-operatives provide education and training for members, elected representatives, managers and employees so they can contribute effectively to the development of their co-operative. Members also inform the general public about the nature and benefits of co-operatives.

The various sources of Finance can be classified into three categories on the basis of :
(i) Period
(ii) Ownership and
(iii) Source of generation
(i) On the basis of period :
The different source of finance can be further grouped into three categories on the basis of period:
(1) Short-term Finance - Bank overdraft, Commerce paper
(2) Medium-term Finance - Loan from bank, Lease financing.
(3) Long-term Finance - Shares, Debentures, etc.
(ii) On the basis of Ownership:
Business Finance can be divided into two categories based on ownership funds :
(1) Owners Funds - Equity shares, Retained earnings.
(2) Borrowed Funds - Debentures, loan from bank and institutions.
(iii) On the basis of Generation:
The sources of funds can be grouped into two categories based on generation:
(1) Internal sources - Trade debtors and bills receivable.
(2) External sources - Factoring, Leasing, Hire purchasing, etc.

Coastal Trade in Ancient Tamil Nadu:
1. Big cities like Poompuhar had the 'Maruvurappakam' (inland town) and 'Pattinapakkam' (coastal Town) had market and bazaars where many merchants met one another for the purpose of selling or buying different kinds of commodities and food stuff.
2. Port towns like Tondi, Korkai, Puhar and Muziri were always seen as busy with marts and markets with activities related to imports and exports.
3. In such a brisk trade, people of the coastal region, engaged themselves in coastal trade and developed their intercontinental trade contacts.
4. They were engaged in different kinds of fishing pearls, and conches and produced salts and built ships.
5. Boats like 'Padagu', 'Thimil', "Thoni', 'Ambu' 'Odampunai', etc... were used to cross rivers for domestic trade while Kalam, Marakalam, Vangam, Navai, etc.. were used for crossing oceans for foreign trade.