So that's fine.

It's the best price that someone's willing to give you for something.

Because we know that the book value per share is 5.

So let's call that market equity.

So we have to be careful.

So I'll pay 2 per share, which is a little bit of premium over the market value at the time, which was 1.

I'm just making up numbers.

Our price is considerably higher than the current market price.

So maybe I have a a billion of these CDOs.

Anyway, fair enough.

He sells that share and he gets 100 for it.

So the first one I'd like to parce is the idea of market value.

I think that's what I wanted a write here, market value of equity.

And that tells you that the book value per share is 4.

And these are the same people now, they're very adamant, that says, oh don't believe the market price.

Here, what multiple are we paying?

And this calculation, this multiplication of market price per share times the number of shares this is called the market cap

So I'm willing to give you 1 billion for those CDOs.

And this is very relevant to what's going on in the world today.

So 5 million divided by 1 million is 5.

I'm going to make money that I otherwise wouldn't have made.

With this price, your product would not be competitive in the Japanese market.

And with that, there's gonna be some electricity and stuff, we won't count all of it..you can produce some cotton. Just the plant cotton. Some raw cotton.

The market drop has cleaned me out.

It's very simple. It's cost plus markup.

let's say that they are traded in some market.

The price of admission.

And what we'll do in future videos is we'll actually explore situations in which that does happen.

So using FrontlineSMS they were able to group people into different categories and these people included farmers, who might want to know the coffee prices in different markets,

So what's leftover?

I'm going to talk about two stories today.

So what is happening here?

But let's parcel it a little bit more, cause these terms can be interesting.

They're arguing that the few people who transacted did it out of desperation.

And I'll do a bunch of videos on margins in the future.

And maybe people would short Company A, and the price would move down.

What would be left over if I were to liquidate at the market price, if I were to sell the house at the market price?

And then kind of the third common errors, my price hast to be less than my competitor's price.

So what's eventually going to happen with the demand increases the price will go up in this market and when the supply increases in this market, the price will go down.

And so microeconomics is how do people decide where to put those scarce resource, how do they decide where to deploy them.

So I don't buy it on two counts.

So they're saying essentially that the market cap, and that's equivalent to the market value of the equity, or what the market thinks the equity is worth, that's 1 times 500 million shares.

It'll be worth twice as much to us on the black market.

These prices are ex works.

So if you have a help at home, if you go to the doctor, the market value of all of those things are going to be put into GDP.