What is Maslow’s Pyramid?

Humans have many needs throughout the day and throughout our lives. The companies They try to meet those needs by delivering the good or service they offer, so each of them will specialize in what they do best. Maslow's pyramid is a motivational theory that tries to find out what drives human behavior to take … Read more

What is real estate?

A person or a company may have in possession of certain real estate or real estate assets that it can economically exploit to obtain a profitability. This type of capital is known as real estate, which can not only be exploited but also grants the person or company to which it belongs a series of … Read more

What is the Profit Factor or Profit Factor?

The profit factor or Profit Factor is a measure used to evaluate a system of trading in front of others and, thus, be able to see which one suits us. The calculation of the Profit Factor is really simple, since we will only have to divide what certain operations earn with the losses that occur … Read more

What is the principle of prudence?

The concept of the principle of prudence is the set of rules established in the recording of income. According to this definition of the principle of prudence, the company must record each of the movements and transactions of income and expenses. For this reason, the principle of prudence will be recorded in the Generally accepted … Read more

What are provisions?

The provisions of a company are made up of the resources that form it and that have been acquired through an obligation. Thus, the definition of provisions is the capacity that companies have to save and store their resources from the accounts of the passive. In addition, these resources will be stored until the moment … Read more

What is the gold standard?

The gold standard is a type of coinage. It is based on the fact that the value of a monetary unit is fixed taking as a reference a certain amount of gold. The monetary system of the gold standard implies that the issuer of monetary units owns the quantity of gold equivalent to the monetary … Read more

What is the Production Possibilities Frontier?

Productive capacities and resource limitations mean that an economy has certain possibilities that allow or restrict its capacities to produce certain goods and services. Therefore, the set of resources and productive factors Of those available to a country, it may engage in different activities, its main ones being the production of capital or consumer goods. … Read more

What is a non-current liability?

Within the liability of balance sheet of a company, distinguishes between current liabilities and non-current liabilities. Non-current or non-current liabilities are those constituted by those debts and obligations of the company, which have a maturity of more than one year. In other words, these are medium and long-term debts. According to the type of credits, … Read more

What is the prime rate?

The premium rate, preferential interest rate or prime rate is an interest class used as a reference in multiple commercial operations. It is called the premium rate, interest rate minimum charge a financial institution in a credit operation to its customers. Origin of the Prime Rate The premium rate originates from the United States. After … Read more

What is the profit margin?

The meaning of profit margin is the difference between the selling price of a product or service, without taking into account VAT, and the operating costs or purchasing an item. Types of profit margin There is the possibility of calculating different margins based on the costs charged to the product: Gross margin: it is the … Read more