REVIEWER

• Investment


  An asset or commodity obtained with the intention of producing sales or appreciation
• Appreciation


  An increase over time in the valuation of an object
• Exchange rate


  The value of a currency for the purpose of conversion to another
• Interest rate


  The amount a lender charges for the utilization of assets expressed as a percentage of the principal
• Annual percentage rate (APR)


  The rate of interest usually noted on an annual basis
• Nominal interest


  Commonly known as fixed interest rate. This does not take the increase of commodity into the computation
• Effective interest rate


  The interest rate received or charged on an investment, loan or other financial transaction owing to the compounding result for a defined period of time
• Floating rate


  The dynamic rate is also known as this type of interest rate. Its interest rates are based on a benchmark such as the CPI, forex or stock exchange
• Flat rate


  A predefined fee or payment on top of the value of the purchase, regardless of use or time/tenure of the loan
• Rent


  The revenue arising from land ownership and other free gifts of nature
• Businesses create a target market for people who are willing to rent
• Understanding the characteristics of a particular population

  • Helps individuals generate sound business decisions related to their renting activities
• Risk


  Any form of risk, big or small, should be considered in deciding to proceed with a rental
• Higher capital


  Translates to higher risk because potential losses become greater should the business fail
• Investment


  An asset or commodity obtained to produce sales or appreciation
• Interest rate


  The amount a creditor charges for the use of assets expressed as a percentage of the principal amount
• Rent


  The difference between the net return of a producing factor (land, labor, or capital) and its supply price
• There was a new law that was implemented to enhance the tax system in the Philippines called the Tax Reform for Acceleration and Inclusion (TRAIN) or Republic Act No. 10963.
• The TRAIN law raises the minimum taxable income that helps a lot of working-class Filipinos to save more.
• In order to sufficiently collect funds for its projects and services, the government needs to impose higher taxes on goods and services.
• Analyze the effects of contemporary issues such as migration, fluctuation in the exchange rate, oil price increases, unemployment, peace and order, etc. on the purchasing power of the people
• Minimum wage


  The minimum amount of compensation that an employer is required to pay its workers for work performed within a particular time
• Minimum wages are intended to protect employees from unreasonably small wages
• Letter of Instructions No. 174, s.1974 (Presidential Decree No. 390) urged all employers from the private sector, including non-profit institutions and organizations, to grant monthly emergency allowances to their employees
• Republic Act No. 6727 supports the establishment of minimum wages and encourages productivity improvement, and guarantees workers' rights to a fair share of the fruits of production
• National Wages and Productivity Commission (NWPC)


  • Advise the President and Congress on salaries, profits, and growth
• Tripartite Regional Wages and Productivity Boards

  • Decide by province and sector, the minimum wage rates applicable to the country
• TIER 1


  The minimum wage rate is determined by factors like poverty threshold and prevailing wage rates
• TIER 2


  A voluntary, productivity-based pay that is over the minimum wage, encouraging workers and enterprises to become more competitive and productive
• The Wage Rationalization Act (RA 6727) states that there should be different minimum wage rates per region for agricultural and non-agricultural workers
• Taxes


  Compulsory charges by the government to fund its different operations, levied on individuals, companies, and the goods people consume
• TRAIN Law


  RA 10963 or Tax Reform for Acceleration and Inclusion, a revision towards a faster, fairer, and more effective taxation system seeking to increase revenues to support the government's programs and finance investments