Leverage
This can be viewed as an opportunity and also a risk, it combines two components in business ie operating leverage and financial leverage. Operating leverage is a component in business…
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December 16, 2024
Customer Value
"Zappos bribes people to quit. During the four weeks of customer service training, it offers employees $2,000 cash, plus payment for the time worked, if they leave the company. The…
November 27, 2024
Timing Activites
Bob during his operations as a farmer will need feedback on how the business is doing without waiting for the end of the accounting period. Therefore he should divide the…
November 25, 2024
Farms Probabilty
Some risk accompanies any investment decision. with the assistance of probability, we can determine the right path to follow based on our choices Bob invests in a farm with a…
October 3, 2024
Bob’s Equity
The accounting equation is described using the following equation Assets = liabilities + Equity An Owner's claims on the businesses are referred to as Equity and therefore the equation can…
September 19, 2024