Concept of Finance

Finance deals with fund management. Finance prepares plans and implements necessary activities about what amount of fund should be collected from which sources and where & how this fund is to be invested for highest profit in the project. In case of a business firm, fund flows in the business from selling of products. Different types of fund are needed to produce and buy goods for the business, like- purchasing machinery, purchasing raw materials, paying wages to the labours, etc. These are the utilization of fund. Funds need to be collected in a planned way as per the requirement of fund to maintain an uninterrupted production process. Finance means this process related to fund collection and utilization.

If you visit a tailoring shop in your locality, you will see there one or two person sewing with a machine. Again, someone may be cutting clothes or stitching the buttons. So to continue the tailoring business properly, the shop owner has to purchase machines, threads, buttons, scissors etc. of necessary amount. At the beginning of his business he bears these expenses from his own saving. If the fund appears insufficient, then he may take loan from his relatives to overcome the shortage. When the business is in operation, at the end of every month he needs to bear expenses for the payment of workers’ wages, house rent, electricity bill etc. and he pays all these with the money earned by sewing cloths. He also has to plan to pay back the loan money from this monthly collection. An owner of a tailoring shop always expects that he can earn some amount of profit even after meeting all necessary expenditures from the income of the business, by which he can save for the future or can utilize for business expansion even after meeting regular expenses of his family. So if an owner of a tailoring shop conducts business through a proper planning regarding the source of finance and its utilization, only then he can earn profit through smooth operation of the business. Otherwise it will be found that due to cash crises sewing thread cannot be bought timely and the customers are returning. Again, it may be needed to shut down the business due to lack of money to buy a new machine replacing the old one. To conduct the business properly, Business finance deals with when and for what reason how much amount of fund is needed and from which sources this fund should be collected for smooth operation of the business.

There has implication of finance in family too. Generally, every family has one or more than one sources of finance. Income may be obtained from different sources in different families, such as, from service, business, agricultural activities, self-employment etc. Beside these, regular expenditure of a family occurs for daily shopping costs, house rent, school fees, different bills payment etc. As expenditure should be matched with income, in this way, right time of expenditure should also be maintained. If money is insufficient as per demand, then as an example, it may happen that name of the student may be cut down from the register. In case of a family, pre-planned identification of the sources of finance and its utilization is the financial process. Other than daily expenditure of this type, sometimes occasional expenditure may be required in the family which may exceed the income ability of a person. If it is not possible to collect money from regular income sources for such expenditures like buying a new television or refrigerator, then the shortage may be fulfilled through long term loan. In that case, a loan repayment plan needs to be prepared. As a result, the concept of finance helps to determine the sources of fund and make proper management of it to conduct the family smoothly.

Financial process can be understood from the perspective of a school also. School is a social organization whose main objective is not profit earning, there also has a plan of income- expenditure and fund management. Educational institutions generally collects fund from sources of their students’ tuition fees, examination fees, admission fees, etc. The institution has to meet different expenditures with this fund to run the academic activities properly, like- payment of teacher-staff’s salary, house rent, electricity bill, different types of renovation expenses, purchasing computer and furniture. So, ensuring fund management for performing various working process of the institution nicely by considering different sources of fund and different sectors of utilization is financing in the perspective of the school.

Among above examples, tailoring shop is a profit making organization, but family and school are non-profit organizations. Our present topic is involved mainly in financing of profit-making- or business organizations. How is the financial process of a grocery shop? The shop owner earns profit by selling products. But for the purpose of selling, he needs to complete on regular basis purchasing products, paying rent, electricity bill, wages of the workers, etc. as current expenditures. Moreover, sometimes he has to spend a large amount of money for purposes like- expansion of business for the need of the customers, purchasing a refrigerator, etc. These are his fixed expenditure. Thus a grocer requires to invest both in fixed assets and current assets. If income from selling is not sufficient for collecting fund for investment, he has to collect fund from other sources like personal fund, friends-relatives, purchase on credit etc. Again, he may collect large amount of money which he needs to invest in fixed assets usually from commercial banks. In such financing, as there is the opportunity of repaying in long schedule of time, the risk of loan repayment is reduced a bit. In the case of a grocery shop, main activities of business finance are fund management through proper utilization of money received from sales proceeds in meeting current expenditures, some long term investments, collection of money from less risky sources, timely repayment of loan installments, etc.

Square Pharmaceuticals, Bata Company, Kohinoor Chemicals – these are large size business organizations which are called company. Financial process of such a company is not so simple like grocery shop or tailoring shop rather it is comparatively complex. In fund collection, a large company gets more benefit than a small organization. For example, a company collects capital by selling shares in the share market. Company’s goodwill, rate of profit, customer services or consumers’ satisfaction helps to increase the share price in share market. Business finance deals with and provides guidance regarding: from among different sources using which source, when and how much fund should be collected and in which sectors, how much amount and how will it be invested to increase the profit.

Read More

Commercial Banks

Students, by studying this chapter, will be familiar with various commercial banks which play vital roles in the current world-economy. They will know about major and distinct aims and functions of commercial banks, their role in building the society, support in import and export, transfer of funds and development of agriculture and industry.

Commercial Banks

After we have studied this chapter, we will know about

    *Objectives and functions of commercial banks.

    *Sources of income and funds of commercial banks.

Introduction to Commercial Banks

We generally mean commercial banks by the word ‘bank’. Commercial banking system has come through a lot of modernization and specialization through ages. Usually commercial banks collect money from people that are surplus after meeting their essential requirements and lend it to the borrowers. A commercial bank is a profit oriented organization that makes profit by making deposit, transaction and lending of money.

So ‘The type of organizations which make transaction of money or service exchangeable through money, are called commercial bank.’

Objectives of Commercial Banks

Although commercial banks are mainly established for making profit, they have some other objectives. Objectives of commercial banks are discussed below:

1. Making Profit: Commercial banks are established with the fundamental objective of making profit.

2. Medium of Exchange: Commercial banks introduce cheques, bills of exchange etc. as mediums of exchange.

3. Capital Formation: Collecting surplus money from the people and formation of capital is one of the main objectives of commercial banks.

4. Welfare of People: Public welfare is an indirect objective of commercial banks.

5. Assisting in Regulation of Loans: Participating and assisting the central bank in formation of loan policy and loan regulation is one of the objectives of commercial banks.

6. Assisting in Planning and Implementation: Another purpose of commercial banks is to assist the central bank in proper development planning and implementation.

7. Proper Distribution of Wealth: Ensuring proper distribution of wealth by developing all sectors of economy in an equal pace through using monetary assets is another major goal of commercial banks.

8. Employment Generation: A purpose of commercial banks is to create opportunities for new employment by increasing economic activities.

9. Mitigating Gap between Rich and Poor: Through collecting deposit and offering loans, commercial banks enable participation of all class of people in economic activities, which help mitigate economic gaps between rich and poor classes of the society.

10. Forming a Saving-tendency: Another purpose of commercial banks is to create a saving tendency among people.

11. Security: Ensuring security of money, valuable ornaments of people is one of the purposes of commercial banks.

12. Economic Stability: Another purpose of commercial banks is to ensure economic stability by meeting the demand of funds in the market through providing loans and by working in line with the central bank’s loan policy.

13. Development of Trade and Industries: An important purpose of commercial banks is to develop trade and industries by providing all-out support in import and export.

14. Improving Standard of Living: Improving standard of living by ensuring overall economic development is also a goal of commercial banks.

Functions of Commercial Banks

As a monetary organization, banks provide various kinds of service in industrial, commercial, social and economic development of a country. We can divide the functions of banks into two categories:

A) Main Functions

B) Special and Other Functions.

A) Main Functions

1. Acceptance of Deposit and Advancing of interest: One of the main functions of commercial banks is to accept surplus money of the clients in various types of deposits, such as current, savings and fixed deposit. A bank pays interests to the holders of fixed and savings accounts on their deposited amounts in certain rates. No interest is allowed for the current accounts but various other facilities are offered to them.

2. Granting Loans and Charging Interests: Banks offer loans to the borrowers from the deposited money of their clients in various terms. Granting loan is an important function of a bank. Because by providing loans, a bank facilitates productive economic activities on one hand, and on the other hand, the amount of interest received from the borrowers is its main source of income. A bank charges higher rate of interest to its borrowers than the rate of interest it offers to the clients. The extra amount received from the borrowers is a bank’s operational income.

3. Creation of Loan Deposit: When a bank sanctions a loan to the customer, a deposit account is opened in his name and the amount is credited to his account. Then, the amount of money withdrawn by the borrower is debited from that account. In this way banks create deposits by sanctioning loans.

4. Creating Medium of Exchange: Banks use cheque, bill of exchange, certificate, bank draft, pay order, debit card, credit card etc. as payment mechanism and medium of financial transaction.

5. Creation of Capital: Banks create capital by accumulating all separate savings of people through different accounts.

6. Issue Notes: Notes are usually not issued by commercial banks but by central bank. But commercial banks issue notes in indirect forms. Thus, sometimes bank cheques serve as a medium of exchange as an alternative to notes issued by the government.

7. Service as Trustee: Commercial banks serve as trustee of properties of their customers and issue solvency certificates to them.

8. Assistance in Import and Export: An importer needs to convert local currency into foreign currency while an exporter needs to convert foreign to local currency, which is one of the functions of banks. Moreover, banks arrange for payment to the exporters on behalf of the importers through letter of credits (LC) in international business. Letter of Credit plays an important role in international trade by creating financial and business connections between importers and exporters. Providing operative assistance and suggestions in import and export related functions are representative jobs of commercial banks.

9. Service as a Government Treasury: Central bank or any other selected bank serves as the treasury of the government.

10. Change Bill of Exchange, Bill of Transport etc.: Banks change bills of exchange, bills of transport etc. in favor of its clients.

Special and Other Functions

1. Investment of Capital: Besides accepting loans, banks invest capital in industrial plants and commercial organizations, which help increase gross national production and capital mobilization.

2. Role in Economic Growth: Banks help a country’s overall economic growth, especially development of trade, commerce, transportation, communication, housing and education etc.

3. Money Transfer: Banks transfer money inside and outside the country through their mediums of exchange.

4. Security of Money: Banks ensure security of public money by keeping deposits. Besides, clients can also protect ornaments, documents of their properties in banks by using locker service.

5. Guidance: Offering various types of business guidance when sought by the clients and management of their properties, for example, collecting house rents are also included in the functions of banks.

6. Employment Generation: As a monetary organization, banks help in employment generation and indirectly create new employments by supplying loans in a country’s economy.

7. Loan Regulation: As the regulator, central bank regulates supply of money and loans by expanding and contracting loans given by the commercial banks. This is vital for ensuring economic stability and regulating inflation of money.

8. Agricultural Development: Banks facilitate agricultural development by offering loans and other assistance in this sector.

9. Industrial Development: Banks assist industrial plants by offering long-term loans.

10. Regional Development: Regional development is also supported by banks as they have network of branches in different areas of the country.

Sources of Funds of Commercial Banks

Commercial banks usually collect funds from the following sources, some of which are external sources and some of which are internal sources.

1. Paid Capital: First and foremost source of banks is paid capital. The capital is provided by the owners for Joint Stock Company, and in cases of joint capital company, capital is formed by issuing shares.

2. Reserve fund: At the time of declaring dividend, a certain portion of the profit is set aside every year which is called reserve fund. This is fund is used as capital in future.

3. Deposits: Public deposits are a powerful source of funds to a commercial bank. There are three types of bank deposits (i) current deposits (ii) saving deposits and (iii) time deposits, which the clients do not withdraw all at once. So, the bank can earn more capital by using this money as loans or business investment.

4. Borrowing: Commercial banks in times of emergency borrow loans from the central bank or from other commercial banks of the country. They can also raise funds by issuing security bonds, credit certificates etc.

Sources of Income of Commercial Banks

Commercial banks earn money through different businesses, which are detailed below

1. Interest on Loans: Commercial banks lend money to the industrialists, traders or consumers, and charge interest on the loans. This is their main source of their income.

2. Investment: Commercial banks earn profit by investing in profitable sectors like shares, issuing letters of credit, government security etc.

3. Bill Discount: Commercial banks also earn money by making discounted payment of bills of exchange in advance.

4. Commission Received from Bank draft, Travellers cheque etc.: Commercial banks earn a big amount of money by charging commissions on bank drafts, traveller’s cheques etc.

5. Correspondence: Commercial banks also earn money through charges received by offering various correspondence services for the clients at their request.

6. Rent of Lockers: People can use lockers of commercial banks for safekeeping of their valuable documents, ornaments etc. by paying certain charges, which is also a source of income of the commercial banks.

7. Agency Service: Commercial banks perform numerous agency services on behalf of their clients, such as collection and payment of cheques or bills etc. Commercial banks charge commission for such services which earn income for them.

8. Brokerage in Purchase or Trade of Shares: Banks also earn through brokerage in purchasing or trading shares.

9. Foreign Exchange: Commercial banks earn profit by acting as brokers in foreign exchange, too.

10. Import-Export: Commercial banks earn income through commission or service charges for the role it plays in international trade and transactions.

11. Letter of Credit: Banks charge commissions for issuing letters of credit on behalf of importers.

12. Trustee: Banks also charge commissions for performing services as trustee.

Expenditures of Commercial Banks

Commercial banks make following expenditure in operating its business:

1. Giving interest to the clients on their deposits

2. Giving interest to the central bank on the borrowed amount

3. Giving interest to commercial banks for the received loans

4. Payment of salaries and allowances to the employees

5. Allowances of directors and managers

6. Auditor’s charges

7. Charges for cases or other legal measures for collecting unrecovered loans

8. Rent for offices and warehouses

9. Tariffs and taxes

10. Insurance Premium

11. Charges for making correspondence through post office, telephone, telex, fax, swift etc.

12. Advertisement cost

13. Training charges of the employees

More topics about Banking and Finance…

End

Read More

Business Management Organizations

There is a correlation between the development of management and the evolution of the civilization. Initially, management was stipulated to family and group based. The concept of management spread over all spheres of life with the progression of civilization. The concept of management got huge popularity from the business operating method of the businessmen. Generally, Management is the process of making others to do necessary jobs to achieve a certain objective. In this chapter, we shall learn about the concept of management, activities and various elements of management in an organization.

Business Management Organizations

After reading this chapter, we shall be able to –

    * Explain the management concept & activities.

    * Describe the concept and necessity of planning.

    * Explain the concept and importance of organizing.

    * Describe the concept of leadership and its types.

    * Identify the quality of a good leader.

Business Management Concepts

Mr. John has been operating a business of fabrics for five years. All kinds of fabrics and readymade garments are available in his shop. He has been operating the business alone. He started to think about appointing a staff with the expansion of the business. Recently, he has recruited a staff. As a result, he was relieved a little bit from the work load. But, after some days, the customers of the shop brought charges against the staff for opening the shop late and for his misbehavior. Mr. John listened to his customers attentively and advised the staff to protect the goodwill of the business. The staff realized his fault. He got motivated to work more attentively in future.

In the above mentioned story, thinking of appointing staff, recruitment of the staff, giving attention to the customer’s objection against the staff and taking measures accordingly, all these activities of Mr. John is the part of his business management.

Management is the efficiency and strategy of doing things by utilizing others potential. According to Henry Fayol who known as the father of the modern management “Management is the combination of forecasting and planning, organizing, commanding, coordinating and controlling.” Some features of management are:

1. Management is a systematic process of some tasks.

2. Management is operated to achieve a predefined goal.

3. Management is a process based on team

4. Management is a continuous process. It is necessary to take new strategy of management with the passage of time.

Functions of Business Management

All the activities performed to achieve a predefined goal are known as management. Many activities have to be performed under management to achieve the defined target through operating the human resources and other elements of business. The functions of business management are descried below:

1. Planning: Planning is the guideline for future work process. Planning is the process to specify that what jobs to be done, who will do, when and how it is to be done in future to accomplish the predefined goal of the business organization. Planning is the first job of management.

2. Organizing: Organizing is known as the process of accumulation of human resources and other elements of the business and distribution of power and responsibilities among the workers and building interpersonal relationship among them.

3. Staffing: Major element of an organization is its work force. It is termed as the human resources of the company. Staffing includes collection of worker, selection, recruitment and training, promotion, transfer and lay off.

4. Directing: Direction is called to commanding the workers to implement the plan. The manager gives order to the worker about when, what and how to do a job. Workers can show most efficiency if the direction is appropriate. That is why many has compared direction with leadership.

5. Motivation: Motivation is the process of making the worker attracted and encouraged towards the job of the organization. Because of motivation, the workers become responsible and perform with quality.

6. Coordinating: Coordination means effective communication between the workers of the organization, various divisions and departments. Through coordination all the workers forms a team which helps to perform with unity.

7. Controlling: Controlling refers to the activities related to looking after whether the works are done according to the plan, finding variances if any, and taking corrective measures if necessary. Controlling makes the implementation of planning easier.

Planning in Business Management

The teacher of Business Entrepreneurship, Mr. William entered the class and exchanged greetings. The students also welcomed him spontaneously. He wanted to know about the experience of visiting a factory before starting the discussion of classification of industry.

He found that most of the students do not have any practical experience of visiting a factory. All the students become overwhelmed in joy when they heard about his intention of visiting the BSCIC industrial area of the district. He made everybody to calm down and said that they need to take permission from the Principal. Besides, some more things to be ensured:

* When to go.

* How to go.

* How many teachers and students shall accompany.

* How to contact the authority of the visiting company.

At last he asked the students: What it can be called to forecast or thinking to visit the factory. The students replied in chorus: Planning. He thanked everybody. He told them that the prior thinking or forecasting before starting a job is called planning. More vividly to say that Business planning is the advance decision making process of what to do, when to do, where to do and within how much time it is to do about implementing a particular job. Correct planning helps to achieve target easily. With the help of planning, proper utilization of assets and elements of the organization is ensured. Duties and responsibilities can be distributed among the workers appropriately. As a result, they become responsible and efficient.

Concept and Importance of Organizing

Mr. Vicky, the owner of the ‘Refresh Fruit General Store’ has been doing business in his locality with reputation for long. He has accumulated various products like readymade garments, cosmetics, baby foods and toys from Dhaka and Chittagong. But, the most lucrative things in his business is the pickle made by himself. Every year he buys Mango, Hog Plum, Jujube and Olive from the local market to make the pickle. For this reason, seasonally he appoints some women to help him to make and bottling the pickle. His pickle gets reputed day by day. He decided to open a separate division to make and sell the pickle. He permanently appointed the women who were temporarily helping him to make pickle. A person was appointed as manager. He distributed the responsibility of collecting raw materials, making and preserving the pickle all the year round.

All the jobs done by Mr. Vicky are the part of management of the business. These works are called organizing.

As per planning Mr. Vicky has accumulated and coordinated the human resources and other elements of the business for proper utilization and has distributed jobs among the workers with duties and responsibilities. Organizing helps a company to achieve the objectives in an easy way. Proper utilization of the assets of the company is ensured. Controlling and operating the workers and employees working in the organization becomes easier. The velocity of work increases with the help of strong interpersonal relationship.

Leadership Concepts

Mrs. Mary started his business Wood-Nymph Furniture with a small amount of capital. But, his hard work, honesty, efficiency to direct the workers and eagerness to be successful in business has made him a special person in the society. Now, five branches of his business are running with reputation. He listens to the workers demand and complains attentively and tries his best to solve their request. On the other hand, the workers are also working in the organization with sense of belongingness, always trying to increase the goodwill of the business by fulfilling the demand of the customers.

From the above story we find the following qualities of Mrs. Mary:

1. He is hard working He is honest

2. He is efficient to direct the workers

3. He has strong inclination for the development of the business.

4. He is cordial to listen to workers demand and objections and positive to solve the problems.

All the above mentioned qualities of Mrs. Mary can be called the quality of leadership. In case of business, leadership means the quality and strategy to encourage workers to perform jobs to achieve some particular goal.

Leadership Characteristics

Democratic Leadership

1. Leader consults with the subordinates.

2. Take advice from the subordinates.

3. Collects information from the workers.

4. Gives the workers opportunity to ask question.

5. Answer them.

6. Expects accountability.

7. Accountable to the worker.

8. Workers feel them to be a part of the organization.

Autocratic Leadership

1. The leader only makes order, there is no accountability.

2. Relies solely on his own power and capability.

3. Cannot rely on the ability of the workers.

4. Never takes the opinion or advice of the workers.

5. Keeps negative mentality about the workers.

6. Keeps workers always under pressure.

7. Workers never take ownership responsibility of the business.

Laissez Faire Leadership

1. Leader remains tension less after assigning responsibilities to the subordinates.

2. Leader does not like to work by himself.

3. Do not give particular order to the workers.

4. Workers do not have the accountability.

5. Workers can work of their own will.

6. Takes more time in decision making.

7. The success of the organization depends upon the good interpersonal relationship and team work.

Bureaucratic Leadership

1. Leader orders the worker to make the work done.

2. Workers give priority to the ideology than the leader and are bound to follow them.

3. All the times have to follow the rules.

4. Order of the leader than the leader himself and discipline than personal relationship is more important.

Leadership Skills and Abilities

He who leads is the leader. The task of the leader is to encourage and motivate the workers of the organization to achieve the defined goal of the business. A leader must have some qualities or characteristics to perform the serious task of a leader. Because, the good quality of a competent leader can make the success of the company easier, and the similar way their incompetency can fail the organization. The leadership skills and abilities are analyzed below:

1. Physical capacity and soundness: A leader has to take physical and mental pressure and perform physical labor. For this reason, his physical capability is important as well as his mental and physical soundness. Besides, his physical structure should also be attractive.

2. Keen Personality: The leader should be calm quiet in nature. The subordinates honor the leader having decent attitude and attractiveness.

3. Education and Experience: Formal education helps to achieve many positive knowledge, efficiency and view. Besides, experience makes them enriched. So it is expected that a leader should be educated and experienced.

4. Courage & Honesty: Leader has to always lead from the front. He has to perform a lot of challenging and risky job. He has to be courageous and honest.

5. Hard working and flexibility: Hard work is the main of performing any job. A leader has to work hard to carry out his responsibility. If, the leader is lazy, does not do work and becomes tired at less, then it becomes difficult to direct the subordinates. Besides, if he does not have flexibility, it will be difficult for him to lead.

6. Responsibility and Cooperation: Leaders sense of responsibility works as the motivating factor for the workers. On the other hand, cooperative mentality to all makes it easier to achieve the goal of the company easily.

7. Organizing Efficiency: A leader must have efficiency in all aspects of the organization so that he can find the right people for the right job.

8. Realizing human resources relation: A successful leader must have the quality to realize the expectations, qualification, personality, taste, point of view of the subordinates. Effective and long run results cannot expect if leading is not done considering the mentality of the subordinates.

9. Power to take decision: Success of the organization depends upon taking the right decision at right times. Leader has to take decision on the basis of his wisdom and far sight ability. Decision taken by the leader increases the reliability and mental strength.

10. Gender Awareness: A leader is always compassionate and showing honor to the subordinates whether they are men or women. He must be neutral. He has to lead considering the different mentality of men and women and their social status.

More topics about Business Entrepreneurship…

End

Read More

Village Fair

The following paragraph on “Village Fair” (Example – 1)

A village fair is usually a temporary gathering under a big banyan tree or on the bank of a river. It is held once or twice a year and lasts for a day or two or may be extended up to a week. Children go to the fair in a group wearing colorful dresses. They move hither and thither, feel charmed with colorful things, buy toys and whistles, flute, puppet shows and circus shows. People gather there for selling and buying commodities and for amusement. It provides circus and puppet show, music and acting for entertainment. These are the specialties of a village fair. Besides, it makes available those essential commodities which are not found in the village market or hat. It has a great impact upon the villagers. It breaks monotony of the villagers, boost up their economic activities and energize them with a great deal of zeal and enthusiasm.

The following paragraph on “Village Fair” (Example – 2)

In our village a village fair is held on the bank of the river that flows through our village. It is an annual gathering of ours. We can see all and exchange our views with each other in our village fair. The fair lasts for three days and a vast crowd of people from all walks of life gather here wholeheartedly. The fair acts life a small exhibition of hand-made things. There are many forms of amusement in the fair. We enjoy cercus shows, merry-go-rounds, magician’s and juggler’s feats with heart’s content. In fact, this fair held in our village is an annual entertainment to us.

List of Paragraphs…

End

Read More

Social Networking Service

The following paragraph on “Social Networking Service”

A social networking service is actually an online service. There are a good number of social networking services such as Facebook, Twitter, LinkdIn, Youtube, Hi5, Skyrock, Friendster, Orkut, Skype etc. All kinds of social network services are web-based. Nowadays, these social networks are expanding so fast because most of the social network services are cost free. A user can make the use of them free, paying a very little to the internet service provider. He or she can make a personal profile before the entire online community. It is really like presenting oneself before the entire world. The users can also look into other people’s profile if they are interested. It is simple and easy. Besides these, social networks allow users to upload pictures, multimedia contents and modify the profile. But there are privacy protection measures too. A user himself or herself decides over the number of visitors or viewers and what information should be shared with others. So, benefits are many behind social networking services. But these social networking services are not free from demerits. The young generation specially school-going, college-going and university-going students are addicted to such kind of social networks. Even the various types of crimes like killing, smuggling, fraudulence, Eve-teasing etc. are likely to happen with the aid of social networking services. Any social movement or anti-social movement can take place with the help of these networks. So, the whole world community must be aware of the bad effects of the social networking services.

List of Paragraphs…

End

Read More

Renewable Energy

The following paragraph on “Renewable Energy”

The energy sources have always been a major actor of change throughout history. Now the countries of the world rely heavily on petroleum, coal and natural gas for their energy sources. There are two types of energy sources such as renewable and non-renewable. Hydro-carbon of fossil fuels is non-renewable sources of energy. Reliance on them creates real big problems. First, fossil fuels such as oil, coal, gas etc. are finite energy sources and the world eventually will run out of them. Secondly they will become too expensive in the coming decades and too damaging for the environment to repair. Thirdly, fossil fuels have direct polluting impacts on earth’s environment causing global warming. Besides, the era of wood and bio-mass has almost come to an end. The age of oil and natural gas would soon be over within the next few decades. So, the only solution is that mankind can look to the massive use of solar energy in future because it has some advantages over other forms of renewable energies. The sun’s heat drives the wind and this wind energy can be captured with wind turbines to produce electricity. Then the wind and the sun’s heat cause water to evaporate. When this water vapor turns into rain or snow and flows downhill into rivers or streams, its energy can be captured as hydroelectric energy. Scientists have identified hydrogen as another form of renewable energy source. It is the most abundant element in nature. It is examined that hydrogen, separated from another element, can be burned as a fuel to produce electricity. Our earth’s interior contains molten lava with tremendous heat. This heat inside the earth produces steam and hot water which can be tapped as geothermal energy to produce electricity, for heating home, etc. Besides, ocean energy comes from several sources. Ocean’s force of tide and wave can be used to produce energy. So, it is high time the developing or developed countries took essential initiatives tapping alternative energy sources mainly known as green or renewable energy sources.

List of Paragraphs…

End

Read More

Information Technology

The following paragraph on “Information Technology”

Modern science has blessed us with many wonderful inventions which have made life easy and comfortable. Information technology plays a great role in the globalized world which comprises television, radio, computer, wireless, e-mail, tax, the internet etc. Television and important invention of information technology can send message from one corner of the world to another with the help of electric waves.  Radio or wireless, another wonderful gift of modern science can transmit information in a second from one corner of the world to another. On a radio set, we hear the voice of the speaker from any part of the world. Computer with its magical power performs unbelievable things in our life. It seems to be fulfilling our dreams. In fact, computer has brought about a revolutionary change in our lifestyle. It can run a business, play chess or even compose music and many other important tasks, Email and the internet which are the latest additions to this technology with their wonderful performance in the communication system have become great blessings to our modern life. A man just pushing the keys of a computer can communicate with any person he wishes. In the field of technology, science is ever going on. It will conquer space. Scientists are now on the process of bringing out the hidden information from space. They will go to different planets. Science knows no defeat, knows no retreat. It is ever going on inventing newer things. So, information technology is on a triumphant march.

List of Paragraphs…

End

Read More