What are the three main types of transactions?

What are the three main types of transactions?

What types of transactions exist

This is why these reference rates are fundamental to the financial system, the banking system and the economy in general. What exactly is it that makes them so important, and why are they currently being reformed? Why are they being reformed?

A bank can grant a loan to a company at an interest rate that is agreed in relation to a certain reference rate plus 2%, which means that the company will have to pay interest of 2% plus the reference rate. Thus, if the reference rate increases, so does the cost of the loan and, conversely, if the reference rate decreases, the cost of the loan will also decrease. In this case, the index in question can be a reliable, independent and relatively simple benchmark for all parties.

Companies, banks and other entities also use reference rates to value items on their balance sheets, i.e. these indices make it easier for accountants to calculate the value of their entities (more specifically, of the financial assets they hold).

Commercial transactions examples

Credit cards send us account statements every month, with which we obtain control over the management of our money, it tells us what transactions have been made in the account, the deposits we receive and the way in which we invest or allocate our resources.

Remittances, that is, the money that our immigrants send to their families, are considered in this account. As well as in-kind donations made by institutions to residents abroad.

Read more  How much is a 1.5 late fee?

If your account statement indicates that your expenses exceed your income, it means that you are consuming more than you can pay and, therefore, you are generating a debt. At the national level, “a current account deficit is a sign that the country spends more than it produces “2. If the result is negative, then we can say that we have a deficit; if it is positive, we call it a surplus.

Examples of banking transactions

A commercial transaction is a business transaction in which two parties are involved. In this transaction, a seller agrees with a buyer to transfer ownership of something, either a good or a service. In return, this transfer is effected by payment, previously agreed between the two parties, from the buyer to the seller.

Millions of commercial transactions take place on a daily basis around the world. The continuous contact between buyers and sellers, as well as the boom in trade on the planet, have led to an intensification in the volume of transactions we carry out on a daily basis.

In addition to these four elements, a commercial transaction can involve more agents. In other words, one commercial transaction often involves more commercial transactions than any other. From transportation to the very insurance agency that might guarantee the payment of the good when transferring ownership, these are independent commercial transactions that, in turn, integrate the same final commercial transaction.

Types of commercial transactions

Most of the time we believe that the function of money is basically to give us purchasing power and provide us with economic stability, since the more we have, the better life we will lead. (Read: How to earn money without spending time and effort?) However, for the economy, money means much more than people’s purchasing power, so experts in macroeconomics speak of three main functions of this asset. These are: means of payment or exchange, unit of account and store of value.

Read more  Is Thomson TV good or bad?

1MEANS OF PAYMENT OR EXCHANGE: basically, it consists of the use of money to carry out any type of transaction, thus facilitating the exchange of goods, products and services. For Solano, this function is about “instilling that one thing is received in exchange for another” Example: when a person approaches a store to buy a product and approaches the cashier to pay for it. As soon as the payment is handled, this function is being implemented because an exchange is being made, in this case of money, to obtain something.