Bank-PO (IBPS) General-Awareness Banking and Finance Revision (Page 11 of 40)

Commitment fee

A fee charged by a bank in respect of an unused balance of a line of credit or sanction of loan designed to offset the bank’s cost of keeping the funds available.

Compound Interest

Interest payable (receivable) on interest.


A combination of unrelated firms; any combination that is not vertical or horizontal

Consumer Price Index (CPI)

An index that measure movements in the average price of products and services.

Convertible Bond

A bond that is convertible into common stock.

Convertible Security

Bond or preferred stock which is convertible into equity shares generally at the option of the holder

Corporate Banking

Banking services for large firms.

Corporate Governance

A system by which organizations are directed and controlled. Board of directors are responsible for the governance of their organizations.

Corporate Tax

A tax on the profits of firms, as distinct from taxation of the incomes of their owners.

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