Short-term assets (can be converted into cash in 12 months)
prepaid expenses example : Salary
Short-term liabilities
accrued expense : things you have not paid in short term
example : utility bills
Long-term assets (cannot be converted into cash in 12 months)
Long-term liabilities
Equity
Share cap
total value of shares sold to shareholders in the primary market
Primary market is like securities first issued-IPO
Retained earning
cumulative profits not paid out to the shareholders
treasury stock
自己公司買股票
Net working capital (NWC)
not always terrible but depends on the business model
Income statement
margin :
Cash flow statement
Change in NWC (difficult concepts)
Mock financial statement questions
