This is a short form of 'Yes ma'am'. When used to a guy, it is a slight and unnoticed insult. Very good for an annoying boss.
Your mother: "Get your ass working now!"
You: "Yes'm."
Your boss: "Get your ass working now!"
You: ( snickering ) "Yes'm."
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A 'beatnik' form for 'cool'. Used to be out of style, but has been making a return.
Friend: "I got a new car just yesterday!"
You: "Spazzio!"