BUSINESS TALK (LEARN WITH STEEM) COURSE 104 - THE MAJOR TYPES OF BUSINESS ACTIVITIES
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Hello to everyone in this wonderful community today and in this great platform. I greet you all in good health and I hope you all are doing just fine.
It has been a wonderful journey so far and today I have come with another power article of my weekly business talk series. Today I will be talking on an important topic that I have tagged types of business activities. So I urge you all to relax and sit tight as I drop my article.
In business, we all know that there are several activities that ar3 carried out in business but today we will be looking at the major types of business activities.
There are 3 major types of business activities when running a business and these 3 major types of business activities are as follows.
The production activities in business entails all the processes that involves production, processing alongside expenses and revenue. This talks about all the things that are carried out related to production in a business.
It explains more about the things that are produced, the products, and also the processing of that product. Now every business that deals with the productions of items and has a particular product they make.
Now these products undergo production processes and I will be explaining them in brief.
Two types of production processes are as follows.
EXPENSES - Expenses talks about the money a business owner spent in the course of production. Getting certain item demands money and that is the expenses regarding production. There are other logistics like bringing the products to the store and this activity also demands man power which also needs to be sorted out with money.
REVENUE - Revenue talks about the money that gotten from the business. It is also refers to money from the sales of business products.
The investment activities refers to processing, depreciation and selling of real life long-term assets. This activity involves the selling out of real life asset for the purpose of funding the business so well.
It is expected that a business tycoon should possess real life asset in other to counter certain problems that comes without halting the normak operation of the business.
The financial activity is the last activity regarding a business. It is refers to the the money borrowed to fund a business and it interests. The financial activity talks so much about how a money is gotten to fund a business and the interest to be paid regarding the money that is borrowed.
There are certain businesses that requires much funds to make the business grow and we have a lot of business individuals with great business ideas but lack the funds to start up the business.
This is where the financial activity comes in. Availing money for the business by getting a loan and to fund the business then in due time one can now return the loan alongside the interest. So for you to see a big business growing so rapidly, there is always an atom of loan most especially during the start of the business.
Now a business individual can not say he or she is rich whilst still holding the loan he borrowed and also we can not determine the net worth of a business person unless we extract the liabilities from the assets.
This brings us to the end of this interesting series regarding the business talk. Stay with me as I get to explain more about Assets and Liabilities in business next time, but for now goodbye.
Here is the link to our previous business talk teachings. Series 101, Series 102, and Series 103. Thank you.
TEAM 1
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