Cash vs Accrual (Accounting) There are two methods used in accounting to record income and expenses which are known as cash basis accounting and accruals basis accounting. The method of accounting chosen will influence the manner in which transactions and business activities will be recorded in the books and will affect the final profit […]
Difference Between Rebate and Discount
Rebate vs Discount Discounts and rebates are similar to one another in that they both result in the customer paying a price that is less than the listed price for the product or service. The main difference between the two is the time period in which the price reduction is provided. While discounts will […]
Difference Between Aggregate Demand and Demand
Aggregate Demand vs Demand Aggregate demand and demand are concepts that are closely related to one another. Both aggregate demand and demand represent the main differences between the study of macroeconomics and microeconomics. While microeconomics is concerned with the demand for certain individual goods and services, macroeconomics is concerned with the total demand of […]
Difference Between Merger and Joint Venture
Merger vs Joint Venture In the corporate world, the terms merger and joint venture are quite commonly used to describe a scenario in which two companies are joined together to act as one. There may be many reasons for two companies to combine their operations, to form new business venture in which either has […]
Difference Between Cost Center and Profit Center
Cost Center vs Profit Center Businesses have a number of operating units that are essential to the smooth running of the business. There are certain operating units that generate revenue for the firm while there are other operating units that result in costs and expenses. Whichever way, both these types of units called profit […]
Difference Between Investment Bank and Commercial Bank
Investment Bank vs Commercial Bank There are two distinct types of banks called investment banks and commercial banks which perform a set of distinct functions. Commercial banks offer a variety of deposit and lending services while investment banks offer investment management, securities trading, and securities underwriting services. There are banks that offer both types […]
Difference Between Cardinal and Ordinal Utility
Cardinal vs Ordinal Utility Utility refers to the satisfaction that a consumer obtains from the purchase and use of commodities and services. According to economics there are two theories that are able to measure the satisfaction of individuals. These are the cardinal utility theory and the ordinal utility theory. There are a number of […]
Difference Between Cash and Profit
Cash vs Profit Cash and profit are two equally important components of any business. Cash is measured by the cash position and cash flow statement, whereas profits can be seen in the company’s profit and loss statements. Companies frequently face the dilemma as to whether they should focus on cash generation or profit maximization. […]
Difference Between Universal Life and Whole Life Insurance
Universal Life vs Whole Life Insurance Universal life insurance and whole life insurance are permanent life insurance policies. These policies are similar in the fact that they are taken out for the same purpose; to provide financial security and benefits at death. There are, however, a number of differences between the two. Universal life […]
Difference Between Internal and External Stakeholders
Internal vs External Stakeholders Stakeholders refer to individuals, groups, or organizations that are concerned with the performance of a business. Stakeholders are concerned with business activities because they will be directly or indirectly affected by performance of the business. Stakeholders can be divided into two categories; internal stakeholders and external stakeholders. Stakeholders use a […]
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