So, remember, assets are equal to liabilites plus shareholder's equity, so if all of a sudden the market value of the equity, the market capitalization, for Ben's shoe company is 215,000... (That is the equity part right over here)

So this is my liabilities.

In a world without leverage so if I didn't have all this

liabilities plus equity.

I use 100 gold pieces.

I think I originally set in the original video that we have 500 million shares.

These are my assets, and these are my liabilities.

We're now moving into East Africa.

When they assign a 120,000 market cap there...

Our liabilities are still 3 billion.

And then what's left over, which is essentially so this is 2 million of equity, and then you'd have 2 million of equity here this 2 million of new equity, right?

So in this situation, the company is worth what?

So just to understand what he's talking about, the central bank, it has liabilities and assets,

He lost a lot of money in the stock investment.

And then the equity is, essentially we would look at this formula.

I put it in, I don't know, maybe I'm a good investor.

let me give you that piece of terminology, it just means net asset value.

It could split the Special Purpose Entity into a million or ten million shares and then sell those shares to investors.

If I buy a share of IBM a lot of people say, oh, I saved I saved my money,

So the asset value is all in equity.

So notice, I now have negative equity, right?

He's a stockbroker.

Stock investments do not always yield profit.

If you take an MBA, they'll write it down, and it looks

He made a killing by investing in the stock market.

Other current assets.

So 26 minus 23 is equal to 3.

It is a customary contraction like our

'Company.' It is a customary contraction like our

They've never made money.

And the way you get that is, they're saying 3 a share and there are half a billion shares.

They walk up with me. Every year all the money in the bank goes to their broker.

goodness.

Because the balance sheet is often called the company's books.

SCOTT Inc.'s stocks are blue chip stocks.

What is often very interesting to value are the assets on a balance sheet.

So its assets.

And you hear these a lot.

Stockbroker.

Stockbroker?

And I'm going to earn, or I'm going to grow just because

They don't want to be the last guy holding the potato.

So let's say this company has let me do it in mauve so this company's shares, let's say it has 1 million shares.

let's say this is a publicly traded company.

That assets, A for assets, is equal to