Redemption

And then at the end of 2010, it'll say the machine is worth nothing.

So their liabilities increase accordingly.

They're usable over two years.

Very few have ever been redeemed.

Now what's our mantra of this day and age I wonder?

So I'll just write down the number first.

The price of the operation is the safe return of Scylla.

So therefore, I put it down there.

Really, in my mind, it's very similar to depreciation.

And then they have an offsetting liability which is just notes outstanding, which is literally saying that hey, these are notes that we've created.

I wonder if it's worth it.

But, actually, it's suddenly come to me after years working in the business, that what we create in advertising, which is intangible value you might call it perceived value, you might call it badge value, subjective value, intangible value of some kind gets rather a bad rap.

Well, you know depreciation, man.

But the present value, what does that mean?

Not so in Italy.

And then their SG amp A is the same.

So, for example, in this one, at the beginning of the period, before the 2007 income statement, the asset was worth 50,000.

How is she gonna be valuable?

Let me tell you about a truly magical algorithm called value iteration.

Greece can no longer pay off its debts.

To figure out the cash from operations from actually how much cash the operations are producing.

So no cash went out of the door.

A book worth reading is worth reading twice.

We just made it explicit.

And my brother and I were raised with all that you really need

Worth zilch.

It's worth twice as much.

It is.

And this value, this is called a well in general, whenever you're valuing anything, it's called a valuation.

What's also interesting, if you look at products that have a high component of what you might call messaging value, a high component of intangible value, versus their intrinsic value

If a thing is worth doing it is worth doing badly.

And amortizing really just means spreading out the cost of this asset, just like depreciation was spreading out the cost of a physical asset.

Next thing I learned from Steve Jobs is

They are often quite egalitarian.

And I'll do a bunch of videos on margins in the future.

So in the last lecture, you remember the business model canvas, all the 9 components of a startup.

So this is real estate, or building.

This is 5 million.

But, are we comfortable with that?

The next element is the fact that

What values do you use to judge?

It's really not worth it.

Worth fighting for.

Worth dying for.