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Principles of Finance Videos
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Okay, so you want to be a company financial manager. It's basically up to you to make money for the shareholders. It would also be swell if you mad...
How is a company... born? Can it be performed via C-section? Is there a midwife present? Do its parents get in a fight over what to name it? In thi...
What is an income statement, and why do we need it in our lives? Well, let's take a look at an income statement for Year 1 of the Sauce Company, an...
What are the pros and cons of IPOs, and of the secondary and primary market? Why might a company want to go public, and what's the best way to go a...
We'll walk you through the IPO process, using the example of our good friends at the Sauce Company. Well, they're acquaintances, really.
How do you raise capital? What's a line of credit? What are 409a valuations? What is that buzzing noise? Who are you? What do you want from us? Wha...
Company Formation, Structure, and Inception: Unit Intro. Sorry, Leo DiCaprio fans—we're not going to be breaking down the plot of Inception. We'r...
So how does the ownership and control of a company... work? Well, first there's a Board of Directors. These folks are elected by the common stockho...
It's time to see what's new... with Wu. And to find out the differences between authorized stock, issued stock, and stock options. Yeah. Let's take...
Hey, Shmoop - how about some examples of business ethics and fiduciary conflicts? Your wish is our command. Hint: you work for the shareholders. So...
Okay, so it's time for the Sauce Company's next funding round. Let's see if they can obtain the capital they need for growth. Not the growth, by th...
There are many items on the IPO checklist, having to do with earnings, shares, spread, etc. Everyone get your pencils ready.
Who are the Bankers, the Underwriters, and The Syndicate? Punk rock bands from the 70s? Almost. In this vid, we'll look at the key players in an IPO.
Time to revisit the Sauce Company. So let's see what's cookin'. Artie and Bernie, who at one time owned 50% of the company each, have been diluted....
Meet the Sauce Kings. And their Bubbie. And their... Reid. We're going to go on a little BBQ sauce-covered journey with them, as we see what it tak...
What does a financial manager... do? Do they spend all day just ordering a bunch of dollar bills around? Fortunately, no (dollar bills are notoriou...
There are certain mathematical tools we use to inspect whether a company or investment is doing well, or... not. Here are a few of those tools, com...
Our little lemonade stand got started with a $5,000 loan. What to do now? Pay off the loan or franchise with the profits? What a "Sophie's Choice"...
Our little lemonade stand got started with a $5,000 loan. What to do now? Pay off the loan or franchise with the profits? What a "Sophie's Choice"...
How is accounting done in La La Land (the place, not the movie)? Eh, not entirely ethically, as it turns out. In fact, it would make for a great Li...
Depreciation is the decline in value of an asset over time, while amortization is the process of assigning costs or revenues over time. Appreciation is... what you feel for Shmoop.
Why do Artie and Bernie get common stock, but Reid gets preferred stock? What's the difference, and how will this affect their friendship?
Accrual accounting, as it relates to free cash flow, gives you options to buy back your stock, buy your competitors, or buy that fancy new motorized scooter you've had your eye on.
The Rule of 72. The Sharp Ratio. Alpha. Are these investment ratios, or band names we've been tossing around? Only one way to find out.
Revenue is the money you take in from selling your product or service. But... what about when there are exchanges? Returns? Bounced checks? Counterfeit fivers?
There are three sub-totals that comprise cash flow: cash from operations, cash from investing activity, and cash from financing activity. Johnny Cash just missed the cut.
Fixed expenses are fixed, while variable expenses... vary. Did we blow your mind with that one?
What are the five principles of finance? We're talking the time value of money, the relationship between risk and reward, and... you'll have to watch the vid for the others.
Cash flow from financing activities includes payments of and proceeds from short-term borrowings, common stock and stock options.
Planned obsolescence was the brilliant* (*denotes sarcasm) idea to purposefully build cars designed to fall apart in a few years. Yeah. Genius*.
Let's dive into an income statement and examine its revenues, its expenses, and its various other ins and outs. Hopefully more ins than outs.
How does a company "offshore" for tax benefits? What does that even mean? And is it, uh...kosher?
ROE v ROA: The Smackdown. ROE is Return on Equity; ROA is Return on Assets. There's also ROB - Return of Late Library Books.
What are cash flows from investing activities? And we're talking about investing in your own company here. Not putting $2 on Runs With a Limp to Place.
Let's take a look at Mattel, the company that brought you Barbie and her literal boy toy, Ken. We'll dig into the numbers.
How do corporate tax deductions work? Like... what sort of expenses can they deduct, and for how much? Paging Uncle Sam...
How does a balance sheet work, and how do you get it to...balance? We'll cover assets, liabilities, depreciation, liquidity, and all the good stuff in-between.
What are appropriate debt ratios? Are those just debt ratios that don't wear jean shorts to the opera?
Robot pizza is the way of the future. The way of the present? Checking out this video on the different ways to view and value a company.
In this video, we'll deconstruct a bond, dissecting it for all its parts - we'll get into principal, par value, spread, and all sorts of other goodies.