banking&finance at Universität Paderborn

Flashcards and summaries for banking&finance at the Universität Paderborn

Arrow Arrow

It’s completely free

studysmarter schule studium
d

4.5 /5

studysmarter schule studium
d

4.8 /5

studysmarter schule studium
d

4.5 /5

studysmarter schule studium
d

4.8 /5

Study with flashcards and summaries for the course banking&finance at the Universität Paderborn

Exemplary flashcards for banking&finance at the Universität Paderborn on StudySmarter:

Store of value while inflation 

Exemplary flashcards for banking&finance at the Universität Paderborn on StudySmarter:

4 functions of money 

Exemplary flashcards for banking&finance at the Universität Paderborn on StudySmarter:

Bartering 
This was only a preview of our StudySmarter flashcards.
Flascard Icon Flascard Icon

Millions of flashcards created by students

Flascard Icon Flascard Icon

Create your own flashcards as quick as possible

Flascard Icon Flascard Icon

Learning-Assistant with spaced repetition algorithm

Sign up for free!

Exemplary flashcards for banking&finance at the Universität Paderborn on StudySmarter:

advantages of bartering 

Exemplary flashcards for banking&finance at the Universität Paderborn on StudySmarter:

disadvantages of money 

Exemplary flashcards for banking&finance at the Universität Paderborn on StudySmarter:

money as store of value 

Exemplary flashcards for banking&finance at the Universität Paderborn on StudySmarter:

How do banks make money? 
This was only a preview of our StudySmarter flashcards.
Flascard Icon Flascard Icon

Millions of flashcards created by students

Flascard Icon Flascard Icon

Create your own flashcards as quick as possible

Flascard Icon Flascard Icon

Learning-Assistant with spaced repetition algorithm

Sign up for free!

Exemplary flashcards for banking&finance at the Universität Paderborn on StudySmarter:

Venture capital 

Exemplary flashcards for banking&finance at the Universität Paderborn on StudySmarter:

external finance for small businesses

Exemplary flashcards for banking&finance at the Universität Paderborn on StudySmarter:

external finance for bigger companies 

Exemplary flashcards for banking&finance at the Universität Paderborn on StudySmarter:

Equity finance 
This was only a preview of our StudySmarter flashcards.
Flascard Icon Flascard Icon

Millions of flashcards created by students

Flascard Icon Flascard Icon

Create your own flashcards as quick as possible

Flascard Icon Flascard Icon

Learning-Assistant with spaced repetition algorithm

Sign up for free!

Exemplary flashcards for banking&finance at the Universität Paderborn on StudySmarter:

venture capitalist 

Your peers in the course banking&finance at the Universität Paderborn create and share summaries, flashcards, study plans and other learning materials with the intelligent StudySmarter learning app.

Get started now!

Flashcard Flashcard

Exemplary flashcards for banking&finance at the Universität Paderborn on StudySmarter:

banking&finance

Store of value while inflation 
➢ inflation and deflation changes the measuring stick making it difficult to compare costs and benefits of some options
➢ when money uses wealth invest in paintings, properties, gold, land, shares
➢ any item people consider as a way of holding wealth is a store of value

banking&finance

4 functions of money 
1. medium of exchange
trade for goods and services
2. unit of account
have an understanding for money and know the value
3. store of value (= standard of value)
convenient form in which to store wealth 
asset function of money 
4. means of different payment 
lend and borrow money and give back later 
money as a credit

banking&finance

Bartering 

→ the act of trading one good or service for another, without the exchange of money

→ goods and services are exchanged immediately


banking&finance

advantages of bartering 
- good for times when cash is not readily available but goods and services are
- beneficial when you barter something you already have enough of for something you need
mutually-beneficial process
- double coincidence of wants

banking&finance

disadvantages of money 

- inefficient

 

can't guarantee fair exchange

 

- goods are not an unit of account

 

money makes trading easier 

 

- becomes a measuring stick of value 

(aka standard of value)

banking&finance

money as store of value 
people are willinging to hold large amounts of money when it is a good store of value, but try to hold small accounts when its not beneficial”

- any item considered a way to hold on wealth is a store of value 

- inflations and deflation change the measuring stick = difficult to compare costs and benefits 

banking&finance

How do banks make money? 
• give credit / issue credit
• lends money to people / government / banks
• deposits money 
➢ transforms it into loans 
➢ loan rate higher than deposit rate
• fees
➢ late payment fees
➢ ATM fees
➢ interchange fees
➢ penalty fees
➢ overdraft fees (when you go in the minus)
➢  installment fees 

banking&finance

Venture capital 

capital invested in a project in which there is a substantial element of risk, typically a new or expanding business.

• all companies need funds of one kind or another in order to succeed
• require capital investment in order to acquire fixed assets or to expand
• working capital is required to pay bills and staff costs

banking&finance

external finance for small businesses
• borrowing from friends or family
• securing a loan or an overdraft from a bank

banking&finance

external finance for bigger companies 
• equity finance (because shareholders have ‘ownership’ of or ‘equity’ in the company to the value of their shares + company does well, shareholders will receive their share of the profits)
→ issuing new shares and selling them to existing owners or on the stock exchange
• debt finance → borrow money by issuing bonds, the value of which has to be paid back to the individuals who buy the bonds

banking&finance

Equity finance 
 method of raising capital by selling company stock to investors
-in return for the investment, the shareholders receive ownership interests in the company

banking&finance

venture capitalist 

= private people or companies 

• earn money through providing capital for business ventures – i.e. their business involves investing in other businesses
• small businesses have profited from crowdfunding


Sign up for free to see all flashcards and summaries for banking&finance at the Universität Paderborn

Singup Image Singup Image

Bank Financial Statements at

Frankfurt School of Finance & Management

Finance Accounting at

Hochschule Furtwangen

E10 banking & finance at

Universität Paderborn

Banking and Financial Institutions at

University of Northern Philippines

Finance at

Duale Hochschule Baden-Württemberg

Similar courses from other universities

Check out courses similar to banking&finance at other universities

Back to Universität Paderborn overview page

What is StudySmarter?

What is StudySmarter?

StudySmarter is an intelligent learning tool for students. With StudySmarter you can easily and efficiently create flashcards, summaries, mind maps, study plans and more. Create your own flashcards e.g. for banking&finance at the Universität Paderborn or access thousands of learning materials created by your fellow students. Whether at your own university or at other universities. Hundreds of thousands of students use StudySmarter to efficiently prepare for their exams. Available on the Web, Android & iOS. It’s completely free.

Awards

Best EdTech Startup in Europe

Awards
Awards

EUROPEAN YOUTH AWARD IN SMART LEARNING

Awards
Awards

BEST EDTECH STARTUP IN GERMANY

Awards
Awards

Best EdTech Startup in Europe

Awards
Awards

EUROPEAN YOUTH AWARD IN SMART LEARNING

Awards
Awards

BEST EDTECH STARTUP IN GERMANY

Awards
X

StudySmarter - The study app for students

StudySmarter

4.5 Stars 1100 Rating
Start now!
X

Good grades at university? No problem with StudySmarter!

89% of StudySmarter users achieve better grades at university.

50 Mio Flashcards & Summaries
Create your own content with Smart Tools
Individual Learning-Plan

Learn with over 1 million users on StudySmarter.

Already registered? Just go to Login