Let's calculate our total liabilities.

So let me draw that out.

I'll do that in yellow.

Many of the technologies out there will not make it to the marketplace.

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

Now we have 225,000 in cash.

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

No major investor will consider us.

Now, the angel investor, if we value this at 5 million, he'll give us 5 million more.

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

like an equation, but it's assets is equal to liabilities plus equity.

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

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

Personal fortune assessed over fifteen million. He'll leave plenty, I tell you.

Frobisher's net worth is upward of two and a half billion dollars.

And this is another important thing to think about.

Remember liabilities plus equities are equal to assets.

So its assets.

And it's worth 100 gold.

These are liabilities.

liabilities plus equity.

With private ownership nonexistent, our wellbeing is on the rise.

That assets, A for assets, is equal to

Because in the last video I talked a little bit about return on asset, where we just took the operating profit, and we divide that by the assets.

But that's not the issue here.

It's the same plot.

So I'll write that up here.

I can do is... So he needs 100 gold pieces.

Or they just have a super flush bank account.

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.

Malibu Equity and Investments.

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

And so you create a derivative asset.

He is a man of wealth.

He's a wealthy man.

loan to Bank A.

I don't want to draw this box.

And rich, eh?

It's not like when you go into bankruptcy the company just disappears.

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

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

So whenever they get this money into circulation they do go out there and they do buy assets usually treasury assets, and then they say even, Indeed, although the bank of Japan's policy, so he's comparing relative to what Japan did when they kind of faced deflationary crisis.

And then when we go and get the property because the

Are you a man of means?

It should start to make a little bit of intuitive sense