Nominal interest rate

And I think you already get the sense that the lower the

Kill the goose that lays the golden eggs.

But when you lower the Price to Earnings you are increasing the Earnings to Price.

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.

This is a pretty profitable business, more profitable than most.

Anyway, I want to leave you there.

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.

Interest rate

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

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

So let me switch colors just to ease the monotony.

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.

Coupon rate

Market interest rate

Our interests clash with theirs.

We can stop at nine billion if we do the right things.

And isn't it a success story.

You must not think about your immediate profit only.

And this is the first compelling business benefit.

Range 014.

Whose house are we doin'?

You're sick! There's the target.

They're armed.

Where is...

Where's the target located?

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

Are you with me?

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.

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.

It's just a faster way of saying

So that's a little bit of a taste of why someone might realistically, in this case, pay a higher Price to Earnings for safety.

Target position

Weapons are locked.

Target acquired.

Target Identified

Got eyes on two targets.