These are the only people who really have, arguably the sophistication and the time and the monetary incentive to really look and scrutinize what management is doing.

So EBlT, I kind of view that it goes backwards.

Yep, that's right.

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.

Company A made 1 per share. 1 of EPS.

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

And the other reason is, this was just 2008 earnings.

Read the kind of books that are useful to you.

Read the kind of books that teach you something.

Read books that are worthwhile.

Minus 500,000.

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.

Kill the goose that lays the golden eggs.

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

So this is trailing 12 months earnings.

I'll just abbreviate that as Nl.

Go ahead, eat.

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

He derived great benefit from the book.

Now we can do another notion, and that's return on equity.

Our interests clash with theirs.

They've been good performers in profits and dividends.

All they care about is profits.

All the profits go toward Phillip's hospital bills.

Science comes first, but business comes a close fucking second.

So what they do is they just take your earnings number and you divide by the number of shares.

The taxes will be 153,000.

I'm not a charity commissioner.

A benefit to both our worlds.

We are assuming a very simple world, were the is no taxes, we have no debt, we have no intrest or things

It is to his advantage.

It's also important to think about what the benefit is.

And these metrics will tell you that.

And this is, I think, a perfect example of what Robert Wright was talking about in those non zero sum things.

We know how much it takes to build our product.

No one wants it to go off.

In return on equity, the numerator is the net income that we got, so it's 350,000.

You can only sell luck in an unequal society because you offer a life changing reward. The monetary system is based on profit leading indirectly to corruption, any game can also be corrupted.

He was using me.

And that's really selfish.

So you've probably heard not only the term earnings, you've probably also heard the term earnings per share.

They buy more of your service and they tell more of their friends, which leads to more profit.

He is alive to his own interests.

When it's rainy and windy, he gives up.