Economic Costs refer to the sum of opportunity costs and accounting costs. It is the cost of choosing one economic activity over another. This means when we look at economic costs, it includes all the costs incurred to carry out a particular activity that have to be paid and the opportunity cost or the benefits from the next best alternative which had to be forgone in order to carry out this activity. Copy the link given below and paste it in new browser window to get more information on Economic Costs:- http://www.transtutors.com/homework-help/economics/economics-costs.aspx
An economic term to describe the inputs that are used in the production of goods or services in the attempt to make an economic profit. The factors of production include land, labor, capital and entrepreneurship
INTRODUCTION
A breakeven analysis is used to determine how much sales volume your business needs to start making a profit.
The breakeven analysis is especially useful when you're developing a pricing strategy, either as part of a marketing plan or a business plan.
In economics & business, specifically cost accounting, the break-even point (BEP) is the point at which cost or expenses and revenue are equal: there is no net loss or gain, and one has "broken even".
Total cost = Total revenue = B.E.P.
Economic Costs refer to the sum of opportunity costs and accounting costs. It is the cost of choosing one economic activity over another. This means when we look at economic costs, it includes all the costs incurred to carry out a particular activity that have to be paid and the opportunity cost or the benefits from the next best alternative which had to be forgone in order to carry out this activity. Copy the link given below and paste it in new browser window to get more information on Economic Costs:- http://www.transtutors.com/homework-help/economics/economics-costs.aspx
An economic term to describe the inputs that are used in the production of goods or services in the attempt to make an economic profit. The factors of production include land, labor, capital and entrepreneurship
INTRODUCTION
A breakeven analysis is used to determine how much sales volume your business needs to start making a profit.
The breakeven analysis is especially useful when you're developing a pricing strategy, either as part of a marketing plan or a business plan.
In economics & business, specifically cost accounting, the break-even point (BEP) is the point at which cost or expenses and revenue are equal: there is no net loss or gain, and one has "broken even".
Total cost = Total revenue = B.E.P.
PRINCIPLES OF BUSINESS DECISIONS
MODULE: COST ANALYSIS
CONTENT
Various concepts of cost
;Fixed cost and Variable cost
Opportunity cost and Outlay cost
Short term and Long term cost
Explicit cost and Implicit cost
Past and Future costs
Economics and Accounting cost
Out of pocket cost and Book cost
Incremental and Sunk cost
Avoidable and Unavoidable costs
Replacement and Historical cost
Shut down and Abandonment cost
DETERMINANTS OF COST
Introduction
General Determinants
Output Level
Prices of factors of production
Productivities of factors of production
Technology
COST OUPUT RELATIONSHIP
Short Run
Long Run
OPTIMUM FIRM
Meaning
Short Run
Long Run
Exploring Abhay Bhutada’s Views After Poonawalla Fincorp’s Collaboration With...beulahfernandes8
The financial landscape in India has witnessed a significant development with the recent collaboration between Poonawalla Fincorp and IndusInd Bank.
The launch of the co-branded credit card, the IndusInd Bank Poonawalla Fincorp eLITE RuPay Platinum Credit Card, marks a major milestone for both entities.
This strategic move aims to redefine and elevate the banking experience for customers.
How to get verified on Coinbase Account?_.docxBuy bitget
t's important to note that buying verified Coinbase accounts is not recommended and may violate Coinbase's terms of service. Instead of searching to "buy verified Coinbase accounts," follow the proper steps to verify your own account to ensure compliance and security.
where can I find a legit pi merchant onlineDOT TECH
Yes. This is very easy what you need is a recommendation from someone who has successfully traded pi coins before with a merchant.
Who is a pi merchant?
A pi merchant is someone who buys pi network coins and resell them to Investors looking forward to hold thousands of pi coins before the open mainnet.
I will leave the telegram contact of my personal pi merchant to trade with
@Pi_vendor_247
Introduction to Indian Financial System ()Avanish Goel
The financial system of a country is an important tool for economic development of the country, as it helps in creation of wealth by linking savings with investments.
It facilitates the flow of funds form the households (savers) to business firms (investors) to aid in wealth creation and development of both the parties
how can I sell pi coins after successfully completing KYCDOT TECH
Pi coins is not launched yet in any exchange 💱 this means it's not swappable, the current pi displaying on coin market cap is the iou version of pi. And you can learn all about that on my previous post.
RIGHT NOW THE ONLY WAY you can sell pi coins is through verified pi merchants. A pi merchant is someone who buys pi coins and resell them to exchanges and crypto whales. Looking forward to hold massive quantities of pi coins before the mainnet launch.
This is because pi network is not doing any pre-sale or ico offerings, the only way to get my coins is from buying from miners. So a merchant facilitates the transactions between the miners and these exchanges holding pi.
I and my friends has sold more than 6000 pi coins successfully with this method. I will be happy to share the contact of my personal pi merchant. The one i trade with, if you have your own merchant you can trade with them. For those who are new.
Message: @Pi_vendor_247 on telegram.
I wouldn't advise you selling all percentage of the pi coins. Leave at least a before so its a win win during open mainnet. Have a nice day pioneers ♥️
#kyc #mainnet #picoins #pi #sellpi #piwallet
#pinetwork
when will pi network coin be available on crypto exchange.DOT TECH
There is no set date for when Pi coins will enter the market.
However, the developers are working hard to get them released as soon as possible.
Once they are available, users will be able to exchange other cryptocurrencies for Pi coins on designated exchanges.
But for now the only way to sell your pi coins is through verified pi vendor.
Here is the telegram contact of my personal pi vendor
@Pi_vendor_247
Falcon stands out as a top-tier P2P Invoice Discounting platform in India, bridging esteemed blue-chip companies and eager investors. Our goal is to transform the investment landscape in India by establishing a comprehensive destination for borrowers and investors with diverse profiles and needs, all while minimizing risk. What sets Falcon apart is the elimination of intermediaries such as commercial banks and depository institutions, allowing investors to enjoy higher yields.
what is the best method to sell pi coins in 2024DOT TECH
The best way to sell your pi coins safely is trading with an exchange..but since pi is not launched in any exchange, and second option is through a VERIFIED pi merchant.
Who is a pi merchant?
A pi merchant is someone who buys pi coins from miners and pioneers and resell them to Investors looking forward to hold massive amounts before mainnet launch in 2026.
I will leave the telegram contact of my personal pi merchant to trade pi coins with.
@Pi_vendor_247
how to sell pi coins in all Africa Countries.DOT TECH
Yes. You can sell your pi network for other cryptocurrencies like Bitcoin, usdt , Ethereum and other currencies And this is done easily with the help from a pi merchant.
What is a pi merchant ?
Since pi is not launched yet in any exchange. The only way you can sell right now is through merchants.
A verified Pi merchant is someone who buys pi network coins from miners and resell them to investors looking forward to hold massive quantities of pi coins before mainnet launch in 2026.
I will leave the telegram contact of my personal pi merchant to trade with.
@Pi_vendor_247
What website can I sell pi coins securely.DOT TECH
Currently there are no website or exchange that allow buying or selling of pi coins..
But you can still easily sell pi coins, by reselling it to exchanges/crypto whales interested in holding thousands of pi coins before the mainnet launch.
Who is a pi merchant?
A pi merchant is someone who buys pi coins from miners and resell to these crypto whales and holders of pi..
This is because pi network is not doing any pre-sale. The only way exchanges can get pi is by buying from miners and pi merchants stands in between the miners and the exchanges.
How can I sell my pi coins?
Selling pi coins is really easy, but first you need to migrate to mainnet wallet before you can do that. I will leave the telegram contact of my personal pi merchant to trade with.
Tele-gram.
@Pi_vendor_247
how can i use my minded pi coins I need some funds.DOT TECH
If you are interested in selling your pi coins, i have a verified pi merchant, who buys pi coins and resell them to exchanges looking forward to hold till mainnet launch.
Because the core team has announced that pi network will not be doing any pre-sale. The only way exchanges like huobi, bitmart and hotbit can get pi is by buying from miners.
Now a merchant stands in between these exchanges and the miners. As a link to make transactions smooth. Because right now in the enclosed mainnet you can't sell pi coins your self. You need the help of a merchant,
i will leave the telegram contact of my personal pi merchant below. 👇 I and my friends has traded more than 3000pi coins with him successfully.
@Pi_vendor_247
2. Equity (finance):
The value of an ownership interest in property, including shareholders' equity in a
business.
In finance, equity is the ownership in any asset after all debts associated with
that asset are paid off. It is total assets minus total liabilities; here also called
shareholder's equity or net worth or book value.
3. Capital:
An accumulated fund of investible resources. Usually used for ‘active’
funds, i.e., funds that are not just being hoarded or saved, but are being held for
investment. Capital seeks to grow, to add to itself – this is the process of
accumulation.
5. Labour Intensive Projects versus Capital Intensive Projects:
• Labour intensive means use of manpower in production with little of
technology.
• while capital intensive means use of technology with little manpower in
production.
Labour Technology
Labour intensive Project
Technology Labour
Capital intensive Project
6. Labour Intensive Projects versus Capital Intensive Projects:
• Labour-intensive Industry or project is where a larger portion of total costs is
due to labour as compared with the portion for costs incurred in
purchase, maintenance, and depreciation of capital equipment.
Agriculture, construction, and coal-mining industries are examples of labour
intensive industries.
• Capital-intensive Industry is one which requires large sums of investment in
purchase, maintenance, and amortization of capital equipment, such as
automotive, petroleum, and steel industry.
Purchase
Maintenance
depreciation
Capital investment
7. Labour Intensive Projects versus Capital Intensive Projects:
• Capital intensive industries need a high volume of production, a high margin
of profit, and low interest rates to be able to provide adequate returns on
investment.
• It is important to distinguish between capital-intensive and labour-intensive
methods of production.
Capital
intensive
High volume
of production
Low interest
rate
High margin of
profit
8. Capital-intensive
A business is capital intensive if it requires heavy capital investment in buying
assets relative to the level of sales or profits that those assets can generate. A
capital intensive business will typically have some mixture of the following
characteristics:
• High depreciation costs
• High barriers to entry
• Large amounts of fixed assets on the balance sheet.
9. Some features of these projects or processes are:
• ‘Capital’ refers to equipment, machinery, vehicles, etc that a business uses to
make its product or service.
• Capital-intensive processes require a relatively high level of capital
investment compared to the labour cost.
• These processes are more likely to be highly automated and to be used to
produce on a large scale.
• Capital-intensive production is more likely to be associated with expensive
equipment.
• Capital is a long-term investment for most businesses, and the costs of
financing, maintaining and depreciating this equipment represents a
substantial overhead.
• In order to maximise efficiency, firms want their capital investment to be fully
utilised.
10. Some features of these projects or processes are:
• In a capital-intensive process, it can be costly and time-consuming to increase
or decrease scale of production.
11. Labour-intensive :
• A labour intensive business is one in which the main cost is that of labour, and
it is high compared to sales or value added.
• As the capital intensive business may attempt to reduce operational costs
by, for example, leasing or renting assets, a labour intensive one may try to
reduce operational costs by outsourcing or automation.
12. • ‘Labour’ refers to the people required to carry out a process in a business.
• Labour-intensive processes require a relatively high level of labour compared
to capital investment.
• These processes are likely to be used to produce individual/personalised
products, or to produce on small scale .
• The costs of labour are: wages and other benefits, recruitment, training and
so on.
Wages and other benefit
training
recruitment
13. • Some flexibility in capacity may be available by use of overtime and
temporary staff, or by laying-off workers.
• Long-term growth depends on being able to recruit sufficient suitable staff.
• Labour intensive processes are more likely to be seen in Job production and
in smaller-scale enterprises.
Flexibility
overtime
Temporary
staff
Laying-off
workers
14. • In under developed countries, due to chronic unemployment or cheap
labour, labour-intensive methods are preferred to capital-intensive.
• The most efficient use of resources in less developed countries will tend to
favour labour intensive methods.
• For innovations, it would also follow the Capital Saving and Labour – using
innovations, it would be preferred. However, It may be profitable to adopt
capital-intensive techniques to increase productivity.
• For example, In India, Labour force is available in plenty. This is the reason
most of the building industry is Labour Intensive including both skilled and
unskilled labour.
• Only certain prestigious projects are handled by Reputed Building agencies
like L&T, Raheja Builders etc who employ only skilled labour force handled by
all professionals like Architects, Engineers, project Managers, etc and they
handle construction using precast building elements and heavy equipment
and machines.
15. General economies of the basic inputs into building construction:
Land, Labour, Capital and Material:
The factors of production are the inputs used to produce goods and services.
Labour, land, capital and material are the four most important factors of
production.
Labour
Land
Capital
Material
Factors of production
16. Labour Market:
• Labor markets, like other markets in the economy, are governed by the forces
of supply and demand.
• Labor markets are different from most other markets because labour demand
is a derived demand.
• Most labor services, rather than being final goods ready to be enjoyed by
consumers, are inputs into the production of other goods.
17. The Production Function and the Marginal Product of Labour:
• The marginal product of labour is the increase in the amount of output from
an additional unit of labor.
• The production function is the relationship between the inputs into
production, i.e. labour, and the output from production. As the quantity of
the input (no. of labour) increases, the production function gets
flatter, reflecting the property of diminishing marginal product.
Input of labour
Production Production
Marginal Production
Input of labour
Production Production
18. The Value of the Marginal Product and the Demand for Labor:
• To find the labourer’s contribution to revenue, the marginal product of labour
should be multiplied by the value or market price of the marginal product.
• Because the market price is constant for a competitive firm, the value of the
marginal product diminishes as the number of workers rises.
• To maximize profit, the firm hires workers up to the point where the value of
the marginal product exceeds the wage, so hiring another labour would
increase profit. Above this number of labourers, the value of the marginal
product is less than the wage, so the marginal worker is unprofitable
labourer’s contribution = Marginal Product X Market price of marginal
product
No marginal production = No hiring
19. Factors that causes the Labour Demand Curve to Shift:
The Output Price:
• The value of the marginal product increases when the output price for that
product is increased.
• Thus, when the output price changes, the value of the marginal product
changes, and the labour demand curve shifts.
• An increase in the output prices raises the value of the marginal product of
each worker, and, therefore, increases labour demand from the firms
producing similar product. Conversely, a decrease in the output prices
reduces the value of the marginal product and decreases labor demand.
21. Technological advance:
It raises the marginal product of labour, which in turn increases the demand for
labour.
Supply of other Factors:
Quantity available of one factor of production can affect the marginal product of
other factors.
22. The Tradeoff between Work and Leisure:
• The tradeoff between labour and leisure lies behind the labor supply curve.
• The opportunity cost of an hour of leisure for a labour is his wage for that one
hour.
• The labour supply curve reflects how workers’ decisions about the labour–
leisure tradeoff respond to a change in that opportunity cost.
• An upward-sloping labor supply curve means that, an increase in the wage
induces workers to increase the quantity of labour they supply, foregoing
their leisure.
• Since time is limited, if more hours of work is offered, it means labour are
enjoying less leisure
24. Factors that Causes the Labor Supply Curve to Shift:
The labor supply curve shifts whenever people change the amount of labour they
want to work at a given wage.
• Changes in Tastes: Now a days, more female population is choosing to
work, thereby increasing the supply of labour.
• Changes in Alternative Opportunities: The supply of labor in any one labour
market depends on the opportunities available in other labour markets.
• Immigration: Movements of workers from region to region, is often an
important source of shifts in labor supply
25. Land and Capital:
• While the firms are deciding how much labour to hire, they are also deciding
about other inputs of production, i.e. land, capital and material.
• The term ‘capital’ refers to the stock of equipment and structures used to
produce new goods and services.
• The ‘purchase price of land or capital’ is the price a person pays to own that
factor of production indefinitely.
• The ‘rental price’ is the price a person pays to use that factor for a limited
period of time. The ‘wage’ is the rental price of labour.
26. • The rental price of land, and the rental price of capital are determined by
supply and demand.
• For both land and capital, the firm increases the quantity hired until the value
of the factor’s marginal product equals the factor’s price.
• As long as the firms are using the factors of production that are competitive
and profit-maximizing, each factor’s rental price must equal the value of the
marginal product for that factor.
• Considering the purchase price of land or capital, Buyers would be willing to
pay more to buy a piece of land or capital if it produces a valuable stream of
rental income.
• The equilibrium purchase price of a piece of land or capital depends on both
the current value of the marginal product and the value of the marginal
product expected to prevail in the future.
27. Linkages among the Factors of Production:
When the supply of any factor of production changes, the resulting effects are not
limited to the market for that factor. In most situations, factors of production are
used together in a way that makes the productivity of each factor dependent on
the quantities of the other factors available to be used in the production process.
As a result, a change in the supply of any one factor alters the earnings of all the
factors.
Production
Labour
Material
Capital
Land
28. Financing of Projects:
• Is known as a Loan arrangement in which the repayment is derived primarily
from the project’s cash flow on completion, and where the project's
assets, rights, and interests are held as collateral/guarantee.
• It is financing of a sole subject established for the purpose of project
realization usually termed as “SPV” (Special Purpose Vehicle). During the
project financing, the creditor/lender believes in cash flow and incomes of
such SPV as sources through which the loan will be re-paid, and the assets of
such SPV are held as security for the loan.
• Project financing sets up the project so the risks and gains related to the
project would be justifiably divided among all project
parties, namely, sponsors, shareholders, subscribers, suppliers or operators
bearing a particular part of risk.
29. Sources of Capital:
Business firms can meet their demand for capital from various sources, such as:
• Share capital,
• Term loans,
• Debenture capital,
• Incentive sources,
• Deferred credit,
• Miscellaneous sources
30. Share capital
There are two types of share capital :
• Equity capital and
• Preference capital.
‘Equity capital’ represents the contribution made by the owners of the
business, the equity shareholders, who enjoy the rewards and bear the risks of
ownership. Equity capital being risk capital carries no fixed rate of dividend.
‘Preference Capital’ represents the contribution made by preference shareholders
and the dividend paid on it is generally fixed.
31. Term Loans
Provided by financial institutions and commercial banks, ‘term loans’ represent
secured borrowings which are a very important source (and often the major
source) for financing new projects, and expansion, modernization and renovation
schemes of existing firms.
Term loans are provided in Indian Rupee as well as Foreign Currency, depending
upon the need.
32. Debenture capital
Akin (similar) to promissory notes, debentures are instruments for raising debt
capital.
They are two types:
• Non-convertible debentures and
• Convertible debentures.
Non-convertible debentures are straight debt instruments. Typically, they carry a
fixed rate of interest and have a maturity period of 5 to 9 years.
Convertible debentures, which are convertible to equity shares, wholly or partly.
33. Cost of Capital:
A firm’s cost of capital is the rate of return it must earn on its investments for the
market value of the firm to remain unaffected. It can also be regarded as the rate
of return required by the investors on capital provided by them.
• Capital is a scarce and productive commodity. Since every scarce and useful
commodity has a price, capital too has a price, known as ‘Cost of Capital’.
• The cost of capital can be ‘explicit’, i.e. interest paid on it, or ‘implicit’, i.e.
opportunity cost of that capital.
• The cost of capital plays an important role in the financing of projects. Since
capital is available at a cost, it demands the best possible use of available
funds, to assure acceptable return on the invested capital.
34. Different concepts of cost are presented below to estimate the cost of
capital:
Cost of Debt-Capital: it refers to the funds directly borrowed from the market
through public deposits, bonds and debentures. The cost of debt capital may be
defined as the rate of return that must be earned on the borrowed capital to keep
the earning of common stockholders unchanged.
Cost of Preferred Stock: it is similar to the cost of debt-capital. It is defined as the
rate of return on preferred stock that must be earned to keep the earning
available to the stockholders unchanged.
Cost of Equity Capital (Common Stock): it may be defined as the minimum rate of
return on the projects financed through the sale of common stocks that can keep
the market value of issues unchanged. The opportunity cost of stocks issued
earlier must be equal to the rate of return on them.
35. Agencies and Institutions directly and indirectly influencing economic
aspects of projects:
Since independence, a number of financial institutions, some operating on an all-
India basis and others functioning within their respective states, have been
established. They provide the bulk of long-term project finance, lay emphasis on
development of backward regions, encourage competent new
entrepreneurs, support modernization efforts, and engage in promotional
activities.
The structure of financial institutions in India is as follows:
1. All India Institutions
a. Industrial Finance Corporation of India
b. Industrial Credit and Investment Corporation of India
c. Industrial Development Bank of India
d. Other All-India Institutions.
37. Industrial Finance Corporation of India (IFCI): set up with the primary objective of
providing medium and long-term credit to industry.
Industrial Credit and Investment Corporation of India (ICICI): it is owned and
financed mainly by the private sector. It provides assistance to industries in the
private sector, particularly to meet their foreign exchange requirements.
Industrial Development Bank of India (IDBI): it is a subsidiary of Reserve Bank of
India, and is the principle financial institution of the country, working in
conformity with the national priorities.
Life Insurance Corporation of India (LIC): it is an important all-India financial
institution which provides substantial financial support to the industry. Its primary
business is life insurance. LIC is one of the two largest institutional investors in the
country.
38. General Insurance Corporation (GIC): it substantially invests in ‘socially oriented’
sectors/projects, and provides term-loans to industrial projects.
Unit Trust of India: it was set up with the principle objective of mobilizing public
savings and channeling them into productive corporate investments. It has
emerged into one of the two largest institutional investors in India.
Industrial Reconstruction Bank of India (IRBI): it is primarily an agency to help the
reconstruction and rehabilitation of industrial units which have been closed down
or which face the risk of closure.
39. State Level Institutions:
State Financial Corporations (SFCs): they render assistance to medium and small
scale industries in their respective states. Respective state governments are one of
the shareholders in these financial institutions.
State Industrial Development Corporations (SIDCs): They serve as catalytic agents
in the industrialization process of their respective states. They sponsor joint sector
projects with the participation of private entrepreneur.