Hello my mom has a small business were she does cakes. I have been asked to tie concepts of international financial managment to the small business. Keep in mind that she only operates locally.

I had tied the concept of Real Interest rate to the sm

all busines:

Example:

business is expanding, and we are considering in leasing a larger commercial space to meet the growing demand. Let's delve into her decision$-$making process.

We have two options Space A with a monthly lease payment of $$2,100$ and a fixed annual increase of $2\%,$ and Space B with a monthly lease payment of $$2,220$ but no annual increases.

To make an informed decision, we consider the concept of real lease costs, factoring in the inflation rate, which remains steady at $3\%$ per year over a period of $5$ years

Calculating the real lease costs over a five$-$year period, Space A$\text{'}$s cost comes to approximately $$1,923$ per month, while Space B remains at about $$1,884$ per month due to no annual increases.

Armed with this understanding, we decide to lease Space B$,$ as it offers a lower real lease cost over the long term, allowing us to allocate resources more efficiently.

Let me know what I can improve on and also, can you find another conceprt that I can use for my small business in order to have better revenue managment.

This is based on international financial managment