• Short Term Investments

    SimpMe Says Some of the best pizza shops are the local mom and pops. These smaller shops are usually family owned and are staples within towns and cities. Often times the amount of resources these shops have at their disposal is extremely limited. If a shop owner needs a napkin dispenser, he or she may […]

  • Total Quality Management

    SimpMe Says When a person feels very unhealthy, overweight, or out of shape, many times they will want to jump right into work out 2 times a day.  However, that tactic is rarely successful because it is too big of a shock for the body to handle.  Another method is to institute incremental changes to […]

  • Vertical Merger

    SimpMe Says Roy lives down the street from Colin and Jared. To make some extra money, Roy designs logos and advertisements for small companies; his company, “Roy Designs”, made the sign for Colin and Jared’s old lemonade stands. Now that Colin and Jared teamed up to form CJ’s Refreshments, they need to find somebody to […]

  • Wages

    SimpMe Says Large snack companies like Planter’s Peanuts have factories where they package their products.  There is most likely a ton of machinery within the factory to assist in the packaging process.  In addition, the company will hire full-time factory workers to ensure the machinery is running properly.  Each factory worker earns money each hour […]

  • Working Capital

    SimpMe Says A simple example of working capital would be the boxes of chocolate Hershey has in their factories that they sell to stores nationwide. (Short term assets) Any inventory that the firm keeps handy to satisfy consumer needs is described as working capital. In addition, any short term loans that Hershey owes in order […]

  • Working Capital Ratio

    SimpMe Says Chocolate bar inventory (current assets) / chocolate wrapper loans (current liabilities) would give you a working capital ratio. Current assets are assets that can be sold off in a year or less whereas current liabilities must be met in a year or less. This ratio would tell a manager how many current assets […]