Leverage is a financial concept that refers to the ability to magnify the impact of an investment or a business decision through the use of borrowed capital. It involves using various financial instruments or borrowed funds to increase the potential return on an investment.
NDP stands for “Net Domestic Product.” It is a macroeconomic indicator that represents the total market value of all final goods and services produced within a country’s borders during a specific time period, minus the depreciation of capital assets. In other words, NDP provides a measure of a nation’s economic output after accounting for the … Read more
Gross National Product (GNP) is the total market value of all final goods and services produced by a country’s residents in a specific time period, typically a year. It includes the value of goods and services produced domestically as well as the income earned by the country’s residents from abroad, minus the income earned by … Read more
IFRS or International Financial Reporting Standards refers to a globally accepted set of accounting and financial reporting guidelines for preparing and presenting financial statements.
Gross Domestic Product (GDP) is the monetary value of all finished goods and services produced within a country’s borders in a specific time period. It is a comprehensive measure that reflects the overall economic performance of a nation, encompassing the total value of goods and services generated by businesses, governments, and consumers. GDP serves as a key indicator for assessing the size and health of an economy, providing insight into its level of production and economic activity.
Capital budgeting helps companies decide where to allocate their funds for projects that will benefit them in the long run.
The balance of trade, often referred to simply as the “trade balance,” is a measure that indicates the difference between the value of a country’s exports (goods and services sold to other countries) and the value of its imports (goods and services bought from other countries) during a specific period, typically a year.
Marginal cost is the additional cost a business incurs when it produces one more unit of a good or service. In simpler terms, it represents the cost of making an extra item.
Join us on this journey as we navigate through the 6 primary structures of markets: Perfect Competition, Monopolistic Competition, Oligopoly, Monopoly, Monopsony, and Oligopsony. There are two more types we will also discuss. We’ll uncover the defining characteristics of each market type, explore real-world examples, and discuss the implications these structures have on businesses, consumers, and society as a whole.
We will discuss these accounting principles and concepts in simple language, making them easily understandable for everyone, whether you’re a student, a small business owner, or just someone looking to gain a better grasp of financial matters.
