A supply chain is a common term when it comes to business operations. It encompasses all the activities that are required to deliver a product or service from the source of raw materials and suppliers, through production, packaging, and distribution, ultimately to the customer. A successful supply chain can lead …

To generate more money in the economy and make it easier for businesses to operate, deregulation is known as one of the major economic changes that have been implemented in many countries. Deregulation involves removing or reducing government regulations on an industry or sector, allowing businesses to operate with fewer …

Comparative advantage is a fundamental concept in the field of economics. It’s an important concept when looking at international trade as well as domestic trade. Products that are produced at lower cost in one country compared to another, are said to have a comparative advantage. This can be an important …

Commission-based payment is a compensation model used by many businesses to incentivize their sales team. Under this payment system, employees earn a percentage of the sales they make instead of a fixed salary. This approach can motivate employees to work harder and achieve better results, but it also comes with …

Companies require funds to operate. These funds typically come from two sources, equity or debt. In the former case, it includes any funds provided by shareholders. These funds may also fall under the definition of contributed capital What is Contributed Capital? Contributed capital is the money or assets shareholders invest …

Cost refers to the expenditure or sacrifice of resources, usually measured in monetary terms, incurred to acquire goods, services, or assets. It represents the amount of money or resources companies must allocate to obtain something of value. Costs can take various forms and classifications based on their characteristics. Regardless of …

Total shareholder return (TSR) is an important concept that takes into account stakeholders. It’s a measure of the overall return on investment made by an investor in a particular company over a given period of time. Being an investor it’s always a good idea to look at the company’s TSR …

B2B or Business to Business is a very common term used in the business world. B2B is the term used to describe transactions between two businesses. Unlike B2C or Business to Consumer where it is the business selling their products or services to an individual customer, B2B involves the exchange …

Certified payroll is crucial for contractors or subcontractors working on government-funded projects. Employee compensation records are the exact details of how much each worker is paid for their work on a project. The purpose of certified payroll is to ensure workers are paid fairly and in compliance with wage laws. …

Manufacturing and construction companies typically use the exponential depreciation formula when calculating the depreciation of their fixed assets. For companies that make long-term investments in large equipment and machinery, it’s important to use a formula that considers how the value of the asset decreases with time. This way they can …