Soul 🇵🇸🇨🇩 Profile picture
Final Destination:Financial Freedom💰 I will teach you how to get the most out of your money and investments. NO PROMOS!!! NO ADS!!! DONT DM!!!

Aug 12, 2021, 7 tweets

How to read financial statements 101

This is an income statement. It tells you if a company made profits or losses. Profits are black, losses are red.

So even if you are like Soul and you can't read...just look at colours okay

This is a balance sheet. This tell you the assets and liabilities. Sorry, here you need to read, but I will highlight the assets and liabilities okay.

This is a cash flow statement. It tells you if a company made cash or if they are eating up cash. Again, black is good. Red is bad.

I know this 1 is a bit hard, but I believe in you guys. Follow me slowly

A stock split is when a company takes your share and they chop it up into more shares.

You have 1 share & it is worth R10. They decides to give you 10 shares for every 1 u hold. Now u have 10 shares at R1

Stocks splits is how Aveng ended up with 63 bn shares

See below. I didn't make this number up, I promise🤣

moneyweb.co.za/tools-and-data…

Bonus line and why I am so hated when it comes to Aveng...I believe Aveng will do a share consolidation. It is exactly the opposite of a stock split

Lets say you have 100 shares. They then decides to give you 1 share for every 100. So your 1m shares will never turn into R1m

I don't have a crystal ball and I could be 100% wrong about the consolidation, but wouldn't you rather me tell you the truth based on what I do know instead of you holding a lottery ticket in vain???

End of my lesson📚📚📚

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