I'm worth 11,000.

For example, government treasuries is a liquid security or a liquid asset,

And you might not even be able to find anyone to buy it a year later.

So once again, I'm stuck holding this non liquid asset.

Mmhm. It's a real estate investment.

Liquid means it's very easy to buy and sell those securities in large quantities.

And then you can imagine now Bank C is worried because now

I don't want to draw this box.

You might be curious about hey, what's all this current asset business?

It's listed as a current asset on this balance sheet but the invoice was never presented to accounts receivable, so....

Illiquidity is a different situation.

I'll do that in yellow.

So its assets.

So this is kind of a frozen asset.

It should start to make a little bit of intuitive sense

Malibu Equity and Investments. Roger Van Zant.

Obviously , a machine you can't do all of those things to it, but you can at least touch it and possibly smell and taste it.

That assets, A for assets, is equal to

Even though it might be worth 20 million, a year later you might not there are only so many people who can afford a 20 million house.

That's its asset it has.

Or across the street from each other.

An asset is something that's going to give you some future economic benefit.

Malibu Equity and Investments.

Remember liabilities plus equities are equal to assets.

And what I wrote here is, it has 4 billion of liabilities.

And rich, eh?

Each share in this case once again, if you believe that the assets are worth 1 million are going to be 1 million.

All of the assets needed to start the firm, the pizzeria.

Remember, every time it'd issue a loan, like for right here, it issued a 100 gold piece equivalent loan to D and instead of giving D 100 gold pieces from, say, right here, it just created a checking account for D, which later D paid to A and that's why it's labeled A right here. Let me relabel another thing because the gold is a different color just so you see the gold.

But let's just kind of think about a generic balance sheet for a bank.

But let's say its assets are worth 1 million.

Let's say out of this 10 million of assets, let's say that 9 million are operating assets.

levels of debt, will probably lose some money.

I won't use the square tool.

These are liabilities.

Phuong, I'm not a rich man but I do have assets.

The Raider's a military asset.

So I'm going to give you a little equation, actually, just to take a little bit of a tangent.

She miscarried.

And if you look at the species level, you saw about fish.

liabilities plus equity.

These are my assets, and these are my liabilities.

I use 100 gold pieces.

Maybe that's stock or some other type of investment that they could sell and turn into cash.

little bit.