Starting and growing a business can be a rollercoaster ride, with plenty of ups and downs along the way and not many individuals can successfully ride on this rollercoaster ride because entrepreneurship is not for the faint-hearted but once you become a successful entrepreneur than sky is the limit when it comes to the potential [...]
Agency and company are the terms used in the context of the corporate world while the company in simple words refers to an entity that is different from its owners and is formed to engage or do business for a long period of time while agency in simple words refers to that person or organization [...]
Fixed budget and flexible budget are the terms used in the context of budgeting a fixed budget is a budgeting method in which the financial plan of the company remains unchanged throughout a specified period which is usually a fiscal year while a flexible budget is a financial plan which can be changed based on [...]
Top down forecasting is the term used in the context of economics. Top-down forecasting is a way to predict what might happen in the future by looking at big-picture information first and then breaking it down into smaller parts. In the case of economics analysts doing top down forecasting first look at the performance of [...]
Vertical analysis is the term used in the context of accounting where each item of the financial statement is expressed as a percentage of the total of respective statements. Hence, for example, the items of profit and loss account will be expressed as a percentage of sales or items appearing in the asset side of [...]
A mission statement refers to that statement that defines the purpose for which the company has come into existence. It basically outlines the organization’s values, objectives, and the specialization or USP of the company. A mission statement often acts as a guiding principle as far as the working of the company is concerned besides it [...]
The banking system is the pillar on which the financial system of the country is built and unit banking is one of the banking systems. Unit banking in simple words refers to that banking system where each bank operates as an independent, standalone unit rather than being part of a larger network of the bank. [...]
Duopoly is the term used in the context of economics where it refers to that market condition in which the whole market of any particular product or service is controlled by two companies and there are no other competitors. In simple words, just like a coin has only two sides in the same way in [...]
Marginal costing is one of the important concepts of cost accounting. In the case of the camera when we want to take picture of an object which is far we zoom the camera so that we can get a clear picture of the object, in case of marginal costing it is a costing method that [...]
Functional structure and division structure are the terms used in the context of the organizational structures of the company to manage its operations and accomplish its objectives. The degree of autonomy given to various organizational components and how they are organized are where these two systems differ most from one another. In order to get [...]