Free Version

Dashboard
Review Topics
Quizzes
Practice Exams
Flashcards
Vocabulary
Some of my friends recommend clenching and unclenching my buttocks during the exam. Personally, I prefer not to receive advice about my hindquarters during times of stress.

Balance Sheet B.S.

Balance Sheet B.S.

"At this point, the company's equity was:


500,000 preferred stock
1,000,000 common stock


"And note that at inception, the three of us owned the company 33-33-33, thirdsies. At that point, each of us owned 333,333 shares out of a total of 1,500,000, or about 22%, assuming a successful outcome. We owned somewhere between that number and the square root of zero in a less successful outcome. The net worth of the company was then $500,000. That's just the cash.

"There is $1,000,000 of perceived value...

Looking for more? Why is this annoying box in the way? It's because you haven't paid for the course yet!

$65.65
Next: Governing: Who's the Boss?
Prev: In the Mood to Share

*Securities is a registered trademark of the College Board, which was not involved in the production of, and does not endorse this product.