Businesses work with plans and one of the most important planning tools in business is a budget. A budget is an operational plan for a business expressed in monetary terms. There four types of budgets that businesses can use namely zero-based budgeting, value proposition budgeting, activity-based budgeting and incremental budgeting. Incremental budgeting is our focus …
Private sector banks play a significant role in the financial system. They intermediate between all sectors of the economy together with other financial institutions, with some banks providing the payment system we use. Banks are the only intermediaries that come in between all ultimate borrowers and lenders as well as other non-bank financial institutions. They …
Businesses have different degrees of complexity in their operations. While a reseller simply looks at cost of products to include the price they paid some businesses may have very complex cost structures due to manufacturing or other processes involved in getting the product ready to its saleable state. In addition to this service businesses differ …
Decision making techniques lead organisations in the right direction when making critical decisions or planning for the future. Generally, decision making is an essential part of life. There are various approaches to decision making that apply to different kinds of situations. Below are the major financial decision-making techniques and general decision-making techniques that organisations can …
Any firm that wishes to offer securities such as bonds or shares to the public must issue a registration statement describing the issue and the firm’s future prospects with the security’s exchange commission (SEC). This statement is called a prospectus. A prospectus helps investors make informed decisions about investing in a company because it contains …
Accounting is the process of recording financial transactions of a business. The accounting process includes summarizing, analysing, and reporting these transactions to oversight agencies, regulators, and tax collection entities. By looking at this definition we already have a good idea of some of the accounting branches. What Is An Accounting Branch? Different branches of accounting …
This article will explain the various scaling techniques. What are Scaling Techniques Scaling techniques are levels of measurements that are used by businesses to assess customer satisfaction, preferences and other aspects of the sales process. Organisations use polls, surveys, and questionnaires to conduct market research in order to determine how customers feel about their product …
What is a Warehouse A warehouse is a planned space for the efficient storage and handling of goods before distribution. They bridge the gap between production and consumption (or distribution to customers). Raw materials, unfinished or finished goods can be stored in warehouses. They are used by manufactures, importers, exporters and wholesalers among other users. …
Accounting and accountancy are words that are often used interchangeably. While the two may seem quite similar there is a difference between accounting and accountancy. While the difference between the two is not easily discernible in a short sentence or paragraph we can look at some of the key roles of the accountant to gain …
The Difference Between Accounting and Accountancy Read More »
When two or more people come together to form a business or company, they are called business partners. Partners can contribute capital or take part in the management of the organisation resulting in the various kinds of partners. All business partners do not necessarily participate in the work and share in the profits or liabilities …
