Corporate Finance and Banking Operations

Corporate Finance and Banking

Companies are linked with customers and suppliers, selling and buying goods and services in exchange for funds management (dinero). This allows better allocation of financial resources, improved future planning of objectives, and the ability to adapt to the changing environment (entorno). Money comes from external sources, such as banks. Companies must be aware of the costs of returns for different products and services.

Bank Management

Bank management is a system responsible

Read More

Effective Disaster and Emergency Response Plans

Plans

As we face a disaster: Organize the human element to respond appropriately and minimize physical and material damage.

How to respond appropriately to a disaster: Organize human resources efficiently and technically to minimize effects and protect people and the environment.

What is a catastrophe: An unfortunate event that severely disrupts the normal order of things.

What is an emergency: An accident or hazard requiring immediate action; a system disturbance endangering stability.

Emergency Operations:

Read More

Essential Financial Policies for Business Operations

Examples of Financial Policies

These policies are specific to each financial aspect of the company.

1. Indebtedness to Banks

  • Type of funding
  • Minimum and maximum amount per bank
  • Maximum interest rate
  • Minimum and maximum loan term
  • Methods of loan repayment and required guarantees
  • Acceptable credit agreement requirements
  • Characteristics of acceptable banking institutions
  • Other acceptable conditions in credit agreements

2. Debt to Suppliers and Creditors

  • Payment deadlines for materials, supplies, and services
  • Discounts
Read More

Economic Systems: Production, Distribution, and Consumption

Goods are all material things taken from nature or produced to satisfy human needs. Examples: Food, cleaning products, or home appliances.

Services are economic activities aimed at satisfying needs that are not directly related to the production of goods. Examples: Paying bus fare or a medical consultation.

Production, Distribution, Consumption

While working, workers are engaged in production. As purchasers of goods and services, they participate in distribution. When consuming these goods and services,

Read More

The 1929 Financial Crisis: Global Impact and Aftermath

The 1929 Crisis and Its Causes

Post-War Prosperity and the Seeds of Crisis

Unlike Europe, the United States emerged from World War I significantly stronger. Its economic status shifted from debtor to creditor, it gained new markets domestically and internationally, and established a favorable trade balance. With expanding markets, a growing population, and rapid technological advancements, the U.S. seemed poised for perpetual prosperity.

In the summer of 1928, American banks and investors began diverting

Read More

Production Theory: Key Concepts and Applications

Theoretical Support: Production Theory Exercises

1. Production with a Variable Input

The production function shows the maximum output for given inputs. In the short term, at least one input is fixed. Average product of labor (APL) is total product (TP) divided by labor units. Marginal product of labor (MPL) is the change in TP per unit change in labor.

2. Shapes of Product Curves

The shapes of the TP, APL, and MPL curves are related. APL is the slope of the line from the origin to a point on the TP

Read More