And why don't you like them as much?

Let's calculate our total liabilities.

And then on the equity side, because we have no liability, so in this case assets will be equal to equity.

And then when I have 1 10 of two million shares,

liabilities plus equity.

So its assets.

I'll do that in yellow.

That assets, A for assets, is equal to

Now we have 225,000 in cash.

So here investors are valuing this company at 1 times a million shares.

Malibu Equity and Investments.

Well, that means the ratio of the assets to the equity is 2 1.

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

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.

You'd have to give up 93 of your net worth.

I don't want to draw this box.

And rich, eh?

But let's just look at what they're saying.

Remember liabilities plus equities are equal to assets.

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

And this is another important thing to think about.

Look. This company over here, we're going to issue more shares, for more people to contribute money

It should start to make a little bit of intuitive sense

Malibu Equity and Investments. Roger Van Zant.

Or they just have a super flush bank account.

So 225,000

So think of yourself as almost their venture investor.

So what I'm telling you about is a system of integrated activities.

liabilities plus equity.

So that's the situation we're dealing with.

I won't use the square tool.

We had a 10 return on assets.

And it's worth 100 gold.

That might be true to some degree.

The Raider's a military asset.

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

These are my assets, and these are my liabilities.

He is a man of wealth.

He's a wealthy man.

Or across the street from each other.

So the total assets were 5 billion in assets.

GDB integration

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

So this is just another visual representation that

It doesn't sound like we borrowed money or anything.