What is Compound Interest? Compound interest is interest that is calculated on the principal sum as well as the previous amounts of accumulated interest.  In essence, compound interest is interest that is paid on interest. Compound Interest and Principal If a business took out a loan for $3,000 for two years with conditions stating it…

Simple interest is interest that is accumulated or earned on a principal sum.  If the amount of the principal sum is unchanged from year to year, the interest per year will remain the same.  Interest can be calculated using the formula below: Simple Interest Formula I = P x R x T I = Interest…

What is the Time Value of Money? The time value of money is the idea that the money you have now is worth more than the same sum in the future because of its potential earning power.  Investors and the Time Value of Money Most investors would prefer to receive money today rather than the…

For a business to excel in a highly competitive market it must learn to become adept at forecasting market demands for its products and services with some degree of accuracy.  Market Research Firms Market research firms can play an important role in helping to collect, analyze and share pertinent market research with businesses that need…

What is Forecasting Demand? Forecasting is the art of estimating future demand by anticipating what consumers are likely to do under a given set of future market conditions. Why is Forecasting Challenging? Few products or services are easy to place accurate market forecasting upon.  Products and services that are easy to forecast tend to be…

Team Types

Research indicates that effective leaders tend to possess certain personality traits.  What are Personality Traits? Personality traits are usually defined as behaviors that are observable both inside and outside the framework of work.  Self-Confidence Self-confidence is considered the most important trait a leader can possess.  This is because self-confident people can increase performance in others…