Minus 500,000.

He derived a lot of profit from the enterprise.

His business returned a good profit.

Ten percent of all future profits from his solo venture.

So that's a nice thing to keep in the back of your mind, this return on asset concept, and it's very closely tied to operating profits and the actual assets of a firm.

This is really important to pay attention to, because so many people say, oh, a company made this much.

This was interest. This was non op income.

And then I was left with 1 million.

And at least it'll give you a sense of how revenues, gross profit, operating profit, pre tax income and net income really are different.

We're better off without the TPP

And these metrics will tell you that.

And let's say, assume if I inherited this million dollars, I didn't finance it.

Let me write that.

They have no interest expense, because that's not the point of this video.

But in general if you take EBlT and you take out the non operating income, you get back to operating profits.

That's what it is generating.

And then, how much am I making from the business now?

Heavy industry always benefits from war.

I believe it's very important to look at how our society ought to be.

Thus The Pirate Bay isn't idealistic.

And so their operating profit, the amount of pre tax income, but you know, we're not considering financing either, so this is their operating profit or their EBlT.

My head I think implicitly made the numbers work out nicely.

They've been good performers in profits and dividends.

And I won't go into all of the details of an income statement, but any income statement you look at will have this operating profit line.

And now we're ready to figure out how much money did the operations of this business make?

Let's say this is what we assume is how many cupcakes we sell.

And this is the profit from the operations of the company, or you could say from the assets or from the business or from the enterprise of the company.

Many of you probably have never heard of this term.

They're generating the operating profit, and that's a very important thing to realize in the future when we talk about return on assets.

This is what the owners of the company get before they pay the government.

(Laughter) But I know it's the bottom line, or one's perception of it, that motivates people in the end.

But here you see it means very, very different things.

Our profit, once again, is 30,000.

The copyright industry is digging a grave for the internet.

let's actually talk about this for a second.

But go to war to defend the interests of the USA,

I'll just abbreviate that as Nl.

Go ahead, eat.

We care how we make our profit.

But anyway, here I want to figure out what is my return on asset?

And when people talk about earnings of a company, this is what they're talking about.

THE MONETARY SYSTEM

Our interests clash with theirs.

And I think that the companies, organizations that are flourishing, whether they're profit, for profit, or somewhere in between, are animated by this purpose.

But business is not philanthropy.