Management and Administration
Personality
BEHAVIOR- PERSONALITY THEORIES What is Personality :- It is a stable set of internal characteristics and tendencies that determines the psychological behavior of people. It is particular pattern of behaviour and thinking that prevail across time and contexts and differentiates one person from other. In simple terms “Personality is an individual’s characteristic pattern of thinking, feeling, and acting, across time and situations.” Theories of Personality View of the causes and motives underlying personality and personality development. 1. The Psychoanalytic Approach 2. The Humanistic Approach 3. The Trait Approach 4. The Social-Cognitive ... Read more
Partnership
PARTNERSHIP Partnership : Partnership is an association of two or more parties, they put money for business. Simple Partnership: Simple partnership is one in which the capitals of the partners are invested for the same time. The profit or losses are divided among the partners in the ratio of their investments. Compound Partnership: Compound Partnership is one which the capitals of the partners are invested for different periods. In such cases equivalent capitals are calculated for a unit time by multiplying the capital with the number of units of ... Read more
Auditing
AUDITING Auditing is the on-site verification activity, such as inspection or examination, of a process or quality system, to ensure compliance to requirements. An audit can apply to an entire organization or might be specific to a function, process, or production step.
Meaning of Auditing:
Auditing is an examination of the books of accounts and vouchers of the business by an independent person who should be qualified for the job, in order to ascertain their accuracy.
Objectives of Auditing:
The basic objective with which auditing is done are: ... Read more
Working Capital
WORKING CAPITAL
Meaning of Working Capital
Every business needs funds for two purposes for its establishment and to carry out its day-to-day operations. Capital required for a business can be classified under two main categories viz. (i) Fixed capital (ii) Working capital. Long-term funds are required to create production facilities through purchase of fixed assets such as plant and machinery, land, Building etc. Investments in these assets represent that part of firm’s capital which is blocked on permanent basis and is called fixed capital. Funds are also needed for short-term purposes for purchase of raw materials, ... Read more
WEALTH MAXIMIZATION
WEALTH MAXIMIZATION Concept: Wealth maximization is the concept of increasing the value of a business in order to increase the value of the shares held by stockholders. The concept requires a company’s management team to continually search for the highest possible returns on funds invested in the business, while mitigating any associated risk of loss. Wealth maximization simply means maximization of shareholder’s wealth. It is a combination of two words viz. wealth and maximization. A wealth of a shareholder maximizes when the net worth of a company maximizes. Objectives: Measurement ... Read more
TECHNIQUES OF ANALYSIS OF FINANCIAL STATEMENTS
TECHNIQUES OF ANALYSIS OF FINANCIAL STATEMENTS A Financial Statement is an organized collection of data according to logical and consistent accounting procedures. Its purpose is to convey an understanding of some financial aspects of a business firm. It may show assets position at a moment of time as in the case of balance sheet, or may reveal a series of activities over a given period of times, as in the case of an income statement. Financial Analysis is defined as being the process of identifying financial strength and weakness of a business by establishing relationship between the elements of balance ... Read more
Stress
BEHAVIOR MEETING LIFE CHALLENGES : STRESS Stress: – The pattern of responses an organism makes to stimulus event that disturbs the equilibrium and exceeds a person’s ability to cope. NATURE OF STRESS Stress is not a factor that resides in the individual or the environment, instead it is embedded in an ongoing process that involves individuals transacting with their social and cultural environments, making appraisals of those encounters and attempting to cope with the issues that arise. Stress is a dynamic mental/cognitive state. It is a disruption in homeostasis or an imbalance that gives ... Read more
Social Accounting
SOCIAL ACCOUNTING Social accounting can be defined as a set of organisational activities that deals with the measurement and analysis of the social performance of organisations and the reporting of results to concerned groups, both within and outside the organisation. Social accounting, also known as national income accounting, is a method to present statistically the inter-relationships between the different sectors of the economy for a thorough understanding of the economic conditions of the economy.
Components of Social Accounting:
The principal forms of economic activity are production, consumption, capital accumulation, government transactions and transactions ... Read more
SWOT Analysis
SWOT Analysis A successful business is founded on a series of sound decisions, so the way you analyze situations and choose to react is essential. When trying to assess the lay of the land, few tools are more useful than the SWOT analysis. It stands for strengths, weaknesses, opportunities, and threats; the SWOT analysis is a planning process that allows your company to overcome challenges and determine what new leads to pursue. The elements of a SWOT analysis A SWOT analysis focuses on the four elements comprising the acronym, allowing companies to identify the forces influencing a strategy, ... Read more
SOURCE OF FINANCE
SOURCE OF FINANCE Sources of finance are the most explored area especially for the entrepreneurs about to start a new business. It is perhaps the toughest part of all the efforts. There are various sources of finance classified based on time period, ownership and control, and source of generation of finance. The process of selecting right source of finance involves in-depth analysis of each and every source of finance. For analyzing and comparing the sources of finance, it is required to understand all characteristics of the financing sources. There are many characteristics on the basis ... Read more