primary vs secondary market
Primary - when company first offers stock for sale. Secondary - stocks/securites previously bought by other investors now being sold by those investors.
stock holders equity
common stock + retained earnings
statement of cash flows - sources of cash
decreasing inventory
decreasing AR, you have collected cash that you deserve
increasing CL and AP: you have increased your cash by not paying money that you owe
Issue equity: gain cash or earn some other type of asset
statement of cash flows- use of cash
-increasing ppe
-increasing accounts receivable (because you have not been paid the money that you deserve for this service so it's decreasing what the balance should be)
-dividends paid out: decrease in cash
-liabilities decreasing: using up cash to pay
accounts recivable
money owed to a company by its debtors (asset)
(a company performed a service but it hasn't been paid yet)
Accounts Payable
money owed by a company to its creditors. (liability)
long term debt
Money borrowed from banks or other lenders that is to be repaid over periods greater than one year. it will not be due until a year of the balance sheet date but it is reported as a current liability
In feb 2020 the DJIA
is roughly 29,000
S&P 500
index that shows the price changes of 500 different stocks
NASDAQ
National Association of Securities Dealers Automated Quotations
DJIA (Dow Jones Industrial Average)
a measurement of market price movement for 30 widely held stocks listed on the New York Stock Exchange
NYSE
A stock exchange based in New York City, which is considered the largest equities-based exchange in the world based on total market capitalization of its listed securities.
marginal tax rate
tax rate that applies to the next dollar of taxable income
The us treasury yield curve goes from an interest rate of ____ for a 30 day bond to _____ for a 30 year bond.
1.5% to 2.0%