let me give you that piece of terminology, it just means net asset value.

No industry. No capital. Money is worthless.

liabilities plus equity.

So I asked the Minister over dinner,

No, that's not true.

So, remember, assets are equal to liabilites plus shareholder's equity, so if all of a sudden the market value of the equity, the market capitalization, for Ben's shoe company is 215,000... (That is the equity part right over here)

I use 100 gold pieces.

Now, each of these shares, well the 1,000 is called the NAV, or the net asset value,

It's worth 5 million.

Our liabilities are still 3 billion.

And this is the market value of the equity, what the market thinks the equity's worth.

And we'll talk a little bit more about assets and enterprise value, and there's a little bit of a nuance there, but essentially the company itself.

When you take some of your assets and you get the value of the assets that you think they're worth and you pay off some liabilities, it doesn't change the value of your equity.

you have to buy this back from me at the NAV (net asset value) per share.

We need flat land, we need 300 days of sunlight, and we need to be near a gas pipe.

How do we take their contributions to their jobs, their communities and their families, and convert that value into reputation capital?

I have factory tools worth 500,000, and then that cash will go away.

So it's a very different scenario depending on what our pre money valuation is.

And of course the pre money valuation is just you just take the pre money valuation plus the amount of cash they're giving us.

A book worth reading is worth reading twice.

In return on equity, the numerator is the net income that we got, so it's 350,000.

But the market value or assets is essentially, what is the market saying the assets are worth?

So what is the value per share?

And there's only 10 shares. So they're valuing the assets at 500,000. And this is of course the market value of the assets.

But this matters a lot, right?

So glamour can be dangerous.

We know there's a million shares.

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

When they assign a 120,000 market cap there...

We said before any of this stuff on the top existed, the pre money valuation of just our idea was 5 million.

And it's essentially, what is the market saying the equity is worth?

So they're saying essentially that the market cap, and that's equivalent to the market value of the equity, or what the market thinks the equity is worth, that's 1 times 500 million shares.

And we'll introduce debt later, because that's another variable that a lot of people don't think about when they

If we have a million shares, then each of them, the market is saying, is worth 3.50, then the equity of the company is worth 3.5 million.

A book not worth reading is not worth buying in the first place.

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

levels of debt, will probably lose some money.

We essentially sold them at 10 a share.

No book is worth reading.

It is worthwhile to read the book.

This book isn't worth reading.

The price of this book has been reduced by half.

That book is worth reading.

The value of this book has been halved.

Is it really worth 125 million?