Is Gold a Good Investment?
Is Gold a good investment? It depends on why you are buying the precious metal. During your investment analysis you need to ask yourself: is gold an investment or a store of value?
...Net Cash Flow and Cash Flow Earnings
Net Cash Flow is important because it tells an investor how much cash a company is generating. After a company creates a product or service and pays all of its bills, the cash flow earnings is the cash the business has available to make money for the shareholders.
...Cash Flow Statement Analysis: Purpose, Components, and Format
The purpose of the cash flow statement is to show where an entities cash is being generated (cash inflows), and where its cash is being spent (cash outflows), over a specific period of time (usually quarterly and annually). It is important for analyzing the liquidity and long term solvency of a company.
...Income Statement Format, Components, and Purpose
The purpose of the income statement is to provide the financial earnings performance of the entity over a specific period of time. It is also referred to as a profit and loss statement or earnings statement.
The components of the income statement format allows for dissecting the revenues, expenses, operating income, and profits of an entity.
Explain Balance Sheet: Define Assets, Liabilities, and Net Worth
The balance sheet is a summary of assets, liabilities, and net worth (book value) at a specific point in time. The balance sheet is the foundation of the entity.
Whether an investor is looking for dividends, value, quality, or companies with sustainable competitive advantages, the foundation of each strategy is finding companies with a sound balance sheet. This is because the financial position of the entity affects everything it does and is able to achieve.
...What is Operating Cash Flow?
Operating cash flow (OCF) is cash generated from normal operations of a business. As part of the Cash Flow Statement the cash flows of the operating activities, investing activities, and financing activities are segregated so the analyst can get a clear picture of the cash flows of all the company’s activities.
...About
As founder of the Arbor Investment Planner my passion is to educate and empower the individual investors to manage their own investment portfolio.
The Arbor Investment Planner is a value investment portfolio management guide for those individual investors who choose to manage their own money. I focus on ideas and concepts important to the self directed investor; but put special emphasis on risk management, value investing strategies, and proper asset allocation and diversification.
- Ken Faulkenberry
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