Key Concepts in Economics and Tourism
Economic Terms
Action
Parties which divide the capital of a corporation.
Operators
Person or institution making economic decisions for the country’s economic performance.
Hwy
Highway. Via with large capacity equipped with separate lanes for both directions and free of level crossings, allowing high-speed circulation not exceeding 120 km/h.
Highway
Faster, similar to the highway by the existence of separate lanes for both directions, lack of level crossings.
Balance of Trade
The difference between domestic
Read MoreEssential Business Concepts: Structures, Strategies, and Finances
1. Company Definition
A system of interrelated elements working together to maximize benefits. Economic and Financial Aspects: Companies create wealth by paying productive factors, contributing to societal economic development. Legal-Commercial Aspect: A business is an asset aimed at profit, generating contractual relationships. Technology and Production: Companies combine production factors to create goods or services.
2. Employer
The agent responsible for directing the company’s physical and human
Read MoreEconomics Basics: Resources, Goods, and Market Dynamics
Topics in Economic Sciences
Economy (Classical Definition)
Economics is the science that studies the optimal allocation of scarce resources among alternative uses in the production of goods and services to meet unlimited human needs.
Goods and Services
Goods
Goods are the tangible result of a production process, created to satisfy materialized human needs.
Services
Services are the intangible result of a production process, created to satisfy non-materialized human needs.
Types of Goods
Free Goods
Free goods
Read MoreTesla’s Strategic Roadmap: Navigating the EV Revolution
Tesla’s Financial and Competitive Landscape
Financial Position (FP)
- Profit Margin: Tesla demonstrates strong profit margins compared to industry standards, indicating efficient cost management.
- Debt-to-Equity Ratio: Tesla’s debt-to-equity ratio has improved through debt reduction and equity growth.
- Return on Assets (ROA): Tesla’s ROA is strong, reflecting efficient asset utilization for profit generation.
- Free Cash Flow: Tesla generates strong free cash flow, enabling reinvestment in research and expansion.
Audit Report Essentials: Characteristics, Elements, and Types
Audit Report Characteristics
The characteristics of audit reports are:
- Clarity: The auditor expresses their view clearly and precisely, avoiding jargon.
- Objectivity: Supported by working papers and independent of recipient interests.
- Conciseness: Evaluates annual accounts without obscuring necessary nuances.
- Timeliness: Considers events after the accounts’ closing but before report issuance.
Elements of an Audit Report
The elements of an audit report include:
- Title or identification
- Target or requesting
Essential Business Management Principles
The Social Function
Social problems are taking the lead over purely economic problems. Among the objectives of a company must be true social returns. We must distinguish two trends:
a) The staff: The company must ensure that employees are in a perfect position to perform their work.
b) The community: The company depends largely on the material welfare of society as a whole, through increased consumption per capita and profit margins used to lower prices in a competitive spirit. Also, with increasing
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