Operating Leverage – a cost-accounting formula Operating leverage is a cost-accounting formula that measures the degree to which a firm or project can increase operating income by increasing revenue. It may…
Wheel Network in Business Communication In a wheel network, information flows to and from a single person. In such a network, the manager plays a vital role to spread information.…
Disadvantages of internet in business communication Technology has changed the way we communicate in so many ways. It has also changed the way people conduct business, and the manner we conduct…
Mortgage Servicing Rights (MSR) Mortgage servicing rights (MSR) are a contractual arrangement between a licensed service company and a loan originator that transfers from the lender to the service…
Non-Renounceable Rights A business offering shareholders the option to buy additional shares of the company, usually at a price lower than the market price, is provided with…
Difference between Operating Leverage and Financial Leverage Leverage is a firm’s ability to employ new assets or funds to create better returns or to reduce costs. That’s why leverage for any company…
Special Drawing Rights (SDR) In the context of the Bretton Woods fixed exchange rate system, the special drawing right (SDR) was created as a supplementary international reserve asset. The…
Platform Economy The platform economy is an increasing number of businesses are starting to adopt the platform business model and its digital strategies in order to remain…
Degree of Financial Leverage (DFL) The degree of financial leverage is a financial ratio that measures the sensitivity in fluctuations of a company’s overall profitability to the volatility of its…
Productivism – a belief that measurable productivity and growth Productivism is a doctrine or theory that increasing productivity is the primary goal of socio-economic activity. It is also known as, growthism is the belief…
Bretton Woods Agreement And System A new global monetary structure was developed by the 1944 Bretton Woods agreement. 730 delegates, who were the leaders of the 44 allied nations attending…
Sharing Economy – in capitalism A sharing economy is defined as an economic system in which assets and services are shared between private individuals. In capitalism, it is a socio-economic…