Effective Interest Rate
The Effective Interest Rate (EIR) is the rate you actually earn on your investment after taking into account … Read More
Future Value of Sum with Non-Annual Compounding
The article explains how to calculate the future value of a sum with non-annual compounding by adjusting the … Read More
Future Value of Sum with Continuous Compounding
The article explains the concept of compound interest, specifically how to calculate the future value of a sum … Read More
Arithmetic & Geometric Average Return
The article explains the difference between arithmetic average return and geometric average return as methods for summarizing investment … Read More
Cost-Plus Pricing
The article explains the cost-plus pricing method, where a product’s price is calculated by adding a profit margin … Read More
Accounting Rate of Return
The article explains the Accounting Rate of Return (ARR), a financial metric used to assess a project’s profitability … Read More
Short-Term Decision Making
The article discusses the concept of relevant costs in short-term decision making, emphasizing the importance of identifying future … Read More
Types of Credit Cards
This article provides an overview of various types of credit cards, including charge cards, fixed-rate cards, variable-rate cards, … Read More
Disposal of Fixed Assets
The article covers the various methods businesses use to disposal of fixed assets, such as discarding, selling, or … Read More
Intangible Assets
The article provides an overview of intangible assets, including their nature, types (such as patents, copyrights, trademarks, franchises, … Read More
Stockholders’ Equity
The article discusses stockholders’ equity, including its two main categories—paid-in capital and retained earnings—and outlines the basic rights … Read More
Depreciation Methods
The article discusses the process and methods of Depreciation fixed assets, highlighting three main approaches: straight-line, units of … Read More
Non-Current Assets
The article discusses non-current assets, highlighting their classification into fixed (tangible) assets, intangible assets, and natural resources. It … Read More
Types of Financial Statements with Examples
The article outlines the three main types of financial statements—balance sheet, income statement, and statement of cash flows—explaining … Read More
Difference between Primary and Secondary Capital Markets
The article explains the differences between primary and secondary capital markets, focusing on their distinct functions, structures, and … Read More