Today you have shown that you have chosen the ladder, not to run, not to hide, fight or resist, but to prepare yourself for your next opportunity to prepare yourself for life.  You did not allow those experiences to prevent you from today, better yet you used them to help you develop into young men and young women who are ready to embrace tomorrow.  Thank you for such a priceless gift. Good luck to you class of 2012. You will continue to do great things. As buffaloes, we will always be proud of you. Thank you. At this time, it is my privilege to introduce to you our top two scholars for Foxtex class of 2012. Our 2012 salutatorian is Ms. Monica Estrada. Monica Estrada has maintained a 4.0 GPA while taking challenging AP and dual credit courses. She is a member of various extracurricular activities including band, national honor society, political thinkers and gamma-sigma girls. In addition to her extracurricular responsibility, Monica is the secretary of the graduating class of 2012. Even with her busy schedule, Monica finds the time to volunteer with organizations like H-E-B's Feast of Sharing and Graffiti Wipeout. Monica will attend the University of Texas at Austin where she will study anthropology in preparation for a career as a museum curator. With great pleasure, I present to you Ms. Monica Estrada. Will the proud parents of Monica Estrada please stand and be recognized. Good evening class of 2012. We have been waiting for this moment for four years. Today our high school journey ends as we take the first step of the rest of our lives. Through our four high school years at Foxtex, we have grown and matured into the young adults we are today. Because our senior class is the smallest in recent history, we are truly a family that has made unforgettable memories. Throughout our high school years, our great teachers have not only provided us with knowledge, but also prepared us for the future. We are here today not only with the help of our teachers, but more importantly with the help of our families. Our mothers, fathers, brothers, sisters, grandfathers, grandmothers, aunts and uncles are the foundation and support for our future dreams. I have my family to thank for being here today. Without the unconditional and patient love of my mother, I wouldn't have made it this far. Her words of encouragement gave me the inspiration to set higher goals for myself. I owe my entire life to this beautiful woman.  Thank you. I love you with all my heart. I want every one of you to not forget the love our families give to us and to thank them for putting up with our teenage years. Remember that without their love and support we would not be here at our graduation. Today it's for giving thanks to all who have supported us, stuck with us and inspired us. Tomorrow is the day we begin our new journey where we will make mistakes again and again, but we will learn from them and create a better tomorrow. I wish the very best for every one of you and as we say goodbye to our high school years, I can only leave you with this quote from F. Scott Fitzgerald, and hope his words of wisdom will guide you in your new journey. For what it's worth, it's never too late or too early to be whoever you want to be. There's no time limit. Stop whenever you want. You can change or stay the same. There are no rules to this thing. We can make the best or the worst of it. I hope you make the best of it. And I hope you see things that startle you. I hope you feel things you never felt before. I hope you meet people with a different point of view.  If you find that you're not, I hope you have the strength to start all over again. Thank you. I am proud of you class of 2012. Buenas noches, familias y la clase del 2012. Hoy en nuestro día de graduación les quiero dar gracias a nuestras madres, padres, abuelitos, abuelitas, tíos y tías por su apor y amor incondicional. Estudiantes, por favor recuerden darle gracias a sus familiares por todo lo que han hecho para nosotros. Todos mis esfuerzos y lo que he logrado se lo debo a mi mamá.  Cada segundo de su vida nos dio ternura y amor. Siempre estuvo a mi lado dándome sus consejos y lecciones de la vida. Yo sé que usted siempre estará allí para nosotros apoyándonos en cada decisión. Siempre va a ser parte de mi vida y en donde esté siempre la voy a llevar en mi corazón. Le quiero dedicar toda mi vida a usted. La amo con todo mi corazón y le agradezco todos los esfuerzos que ha hecho para darme un mejor futuro. Mamá, usted es la mejor parte de mi vida. Nunca olvidaré su ternura y amor. Gracias. At this time I'd like to present to you our 2012 valedictorian, Miss Ana María Elizalde. Ana María Elizalde has always maintained excellent grades, thus honoring her as an all A honorable student. She has taken a lot of challenging and rigorous classes including AP courses such as Spanish 4, 5, and Spanish 5. World history, economics, government, and calculus. She's also taken dual credit courses such as English 3, English 4, and US history. Besides having an outstanding academic record, Ana has also managed to be part of the following clubs. The varsity soccer team, national entrecité, university outreach, gear up, Upward found political thinkers, youth against gang activity, health explorers, and the Microsoft Word Club, which in fact helped her to become a Microsoft Word 2007 specialist. But hold on, her amazing work does not stop there. She is also determined to help her community and she got involved by participating in events such as the Guadalupe March, the Special Ed Kids bowling day, the Special Olympics, Henry B. Gonzalez Thanksgiving dinner, and the race for the cure event. Even with this entire curriculum taking place, she has also achieved to get a part-time job at a Mexican restaurant, although never forgetting her education always comes first. Ladies and gentlemen, tonight is my pleasure to present to you, Fox Tech's senior class valedictorian, Ms. Ana Maria Elizondo. Will the proud parents of Ms. Ana Maria Elizondo please stand and be recognized. Good evening, graduates, parents, and honored guests. I would like to, I would like everyone to know that I decided not to include a specific names in my speech, but I feel that every single one of you has helped me become who I am today. Let me first thank all the parents for their support and unconditional love. I would also like to thank our teachers for their patience and for having to deal with our stubbornness for most, but most importantly for sharing a part of their knowledge and experiences. Now, it is with great honor that I thank the graduating class of Fox State High School, the class of 2012. I am proud to be among the final students, and I am grateful that we have had such an excellent number of student leaders. For the past four years, no one in this graduating class could have predicted that the years would have come and gone so quickly. Although we have come a long way, having to go through so many ups and downs that our school has experienced tonight, as this chapter of our lives concludes, another one begins. Whether we enter the workforce, join the military, or enroll in college, we must all take charge of our lives. I recognize that for many of us it has been difficult to keep up with our studies, but our perseverance has enabled us to overcome many obstacles that led to this night, and it will be our determination that will keep us from ever failing in our future. Believe me, never let anyone or anything stop you from accomplishing your goals. For instance, take me as an example, I immigrated from Mexico in 2005 speaking all English and having to adapt to a new culture. I must admit that it was a rough journey, but with dedication, passion, and a lot of sacrifice, I was able to make it. Today, I am proud to say that I am a varsity soccer player, a member of the National Honor Society, and always honor roll student, but most importantly, the valedictorian of the 2012 Fox State High School senior class. If I was able to do it, all of you can accomplish anything you set your mind to. Don't ever give up and remain hopeful. Remember, the hard work always pays off. Stay confident and take advantage of all opportunities presented. Tonight, I congratulate you all on your accomplishments, and I hope you have the best of luck in your future. No matter where we are, we will forever share a common bond. It's now time to take the buffalo by the horns. Congratulations class of 2012. Thank you.


Hello, welcome to SSUnitech Social Decide and this is Continuation of PySpark tutorial. So in this video we are going to see about the Explode-Explode-Outer-Pose-Explode-Pose-Explode-Outer. So all these four functions we will see in this video. Before going forward if you haven't watched the last video of this video series so I would strongly recommend to watch that video where we have seen about the Explode function. So as per today's agenda first we will see Explode, then Explode-Outer, then Post-Explode, then Post-Explode-Outer. So what is the Explode function? It is used in PySpark data model to explode an array or map related column to rows. So in the last video we have seen how we can map related column converted to the rows. In this video we will see about the array type. So let me quickly go inside the browser and we will try to see in practical. So here in this notebook first I am going to import all these types. So here we can see this array type. So I am going to create two columns by array type. One is the skill and second is the work profile. And let me try to execute this so it will create a data frame. So here as we can see in this data frame we have name, skill, work profile, current state and previous state. So if you can see the third row here the skills are null. So let me try to do the Explode on this skill and then we will see the output of this. So let me use the df dot and here let me try to select the name. Next column let me select skill. We can use df dot skill. In the third column let me try to use the Explode. But Explode function we have to import first. So we can import from pyspark dot sql dot functions. Let me try to import all the functions. Here let me try to use the Explode and inside the Explode we can simply pass this skill column and let me put this another data frame that is df1 and we will see the output of this df1. Let me execute and we will see the output. So inside the Explode it should be skills not skill. So we can use skills and re-execute it. So here as we can see in this column that new column we have created we have exploded this. So James Smith we can see three times because adf scala and pyspark is there and if we can go here we can see this Michael Rose. So adf sql and pyspark for this but for the empty string if we can see this Williams so this is not appearing here. So if we are going to use the Explode and inside that column any particular column value is null for particular row then it will not be appear in output. So all the row will be gone. So how we can avoid this so we can use Explode underscore outer. So once we will use Explode underscore outer function it will be going to add those missing rows as well with the null as here you can see we can see this Williams skill is blank and in the column output it will be null but it will appear in the output. So while we are going to use the Explode function make sure if we are having the nulls inside particular array and we want to keep those rows so instead of using Explode we can go with the Explode underscore outer. Let me try to use the pose Explode what it will do will add the position of this array. So let me try to execute and we will see the output. So here we have added two times E so that's why we are getting this error it is post Explode so if you can see the output then here we can see this position. So it will also add the position along with the column. So in the position we can see 0 for the ADF 1 for the Scala and 2 for the PySpark. So similarly 0 position for ADF 1 for Scala and 2 for PySpark. So it will be going to add the position as well but again the problem is if we are having any empty or null in the input then it will not return anything for that particular employee. Then what we can do we can simply use pose Explode underscore outer. So it will be going to add that missing row as well. So earlier it was total 6 rows and now it is having total 7 rows we can verify from here or we can scroll and we can check. So that Williams is having null so we can see position as null and column value is also null. So this is the particular use of the Explode function Explode outer post Explode and post Explode outer. So I hope guys you have understood how we can use all these functions. Thank you so much for watching this video. If you like this video please subscribe our channel to get many more videos. See you in the next video.


The former United States Coast Guard cutter USCG Dallas, now named BRP Ramon Al-Garaz, recently departed San Diego for its new home port in the Philippines. The Philippine Navy acquired the ship from the United States under the DOD's Foreign Military Sales Program in May 2012. The acquisition of the ship is mutually beneficial. On the strategic level, this only shows the sincerity of the US government and the Philippine government to uphold the provisions of mutual defense treaty signed between the two governments. US Navy sailors and coast guardsmen train the new Philippine Navy crew on several drill evolutions and various systems on board. From the Defense Media Activity, I'm Petty Officer Amara Timberlake.


31 countries were all under one roof for the annual Festival of Nations. Haiti Clowder shows us how Bemidji State University embraces international cultures. BSU student Theophily Mathews is from Malaysia and says she's proud to represent her Chinese mother and Indian father. She sees it as the best of both worlds. There's a slogan in Malaysia where we call it one Malaysia where all ethnic groups are harmonious together you know living together in peace and harmony. More than 100 international students from 31 countries work together to put on the 48th annual Festival of Nations at Bemidji State University. Diversity is a priority at BSU. Adds so much to the culture here at BSU as well as to the students learning and to their experience you know the world is becoming more and more global and diverse and BSU is reflecting that. Mathews says it's been a blessing exposing other people to her culture and she also learned about accepting other cultures while working on the festival. It's important that we come together and doesn't matter what we can actually work as a team regardless of our skin color. Most of the production was put on by students. They were in charge of everything from the food to the entertainment. The food was popular with the crowd as the lines didn't seem to ever end. On the menu were items such as chicken stew and potato dumplings. Performances throughout the show let students showcase their talents. In some cases students performed in English and in their native language. This year also featured something new, henna tattoos. The festival also allows others to have a different experience. We don't have a lot of diverse activities or students necessarily on campus or showcased on campus and I think it's a wonderful way for us to also recruit. Money raised from the events ticket sales will go back to the international student organization. In Butte Midji, Katie Potter, Lakeland News. And there was also a silent auction that benefits the International Student Scholarship Fund. If you've enjoyed this segment of Lakeland News, please consider making a tax-deductible contribution to Lakeland Public Television.


Hi, this is Ben. I work at Tech Impact with SharePoint Online and Office 365. So we're going to take a look at how we can use SharePoint Online to collaborate with external parties. So the first thing that we can do is to share just an individual document with someone using what's called an anonymous access link or an anonymous guest link. So I have my file here. I could select this. I could just go into the ellipses menu here as well that I have to the right of the bio name to get a set of options here. And we have this get a link option. We see it up here as well. So I can click on that. And what it's going to do is actually randomly create either an edit link or a view link. So when we click on get a link, this is going to allow us to create just a randomly generated link for this document. So you can see URL web address that someone can click on and it will take them to this file. And we have two different options for the kind of link that we can make here. So we can either make a view link or an edit link. And both of these are no sign-in required. So what that means is whoever has this link, that person now has some level of access to your document either to view and download the file or to actually be making changes to the file that lives in SharePoint. One thing that's really great about this option though, so if we create our edit link here and I click on create, I can actually set an expiration for this link. I can turn off that access after a certain amount of time so that I know that that's definitely not going to be permanently out there for people to be able to get. So after a day, I can turn it off a month, 60 days, or I can even use a custom amount of time and set this to 14 days if I want it to be two weeks or something like that. And you can always come in here and just remove the link manually as well. The link will not permanently give access to the file. So we can only use those link for individual documents. If I wanted to share a folder or even a document library, or this entire communications site, I would actually have to share it via authenticated access. So the person who I'm sharing it with is going to need to log in with some kind of Microsoft account in order for them to access what I'm sharing with them. So I can do that with this folder. I could share this to someone. Go ahead and invite my external email address. And so it's just telling me that this email address is someone who's outside of my organization. Just like I had with those links, I could actually choose whether this person is going to be able to edit this folder or the contents of this folder that I'm sharing with them, or just be able to view and download the contents of that folder. I could put a little message in here if I wanted to. I can choose not to share everything in the folder. So if there are things that have unique permissions inside of that folder, I can make it so that they can't see those items. They can only see the ones that are inheriting their permissions from the social media folder. And then if I wanted to, I could choose not to send an email invitation. In most cases, you do want to send that so that the person has a link. Let's go ahead and share this. There we have that email from SharePoint saying that I shared a file with myself. Okay. So here's that message. And I can go ahead and open up this social media folder that Ben's really shared with me. And when I click on that link, it actually prompts me whether I want to use a Microsoft account or an organizational account. So if I already am using Office 365 with that email address, I can actually just sign in with that and be able to get in here. Otherwise I'm going to need a Microsoft account. And so what I would use for this, if I don't already have one, I can go ahead and create a Microsoft account right here. And I could just use the same email address that that folder was shared with. So even if I'm on Gmail or Yahoo or something like that, I can just sign up for a Microsoft account using that same email address and be able to log in here with that account and access the contents of that folder. So I can click on social media right here. That's that folder that I shared. And I have access right here because I happen to already be logged into my Microsoft account. So I can now contribute to this folder, adding documents in here, uploading files I might already have. So those are the two ways that we can externally share within SharePoint Online. Thank you all for watching. Have a great day.


Hello, in this session, we would look at the balance sheet. The balance sheet is one of the major financial statements along the income statement as well as the statement of cash flow. So if you are an accounting students or a CPA candidate, you will need to know everything about the balance sheet. Now, if you're specifically a CPA candidate and you're studying for your CPA, I don't replace your course.  What I do is I am in addition, I can be a supplemental tool because when I'm going to go over the balance sheet today, I'm going to cover the balance sheet from A to Z. So I'm going to cover everything about the balance sheet in the tails and little bit more in the tails than a typical CPA course will go over. Now, what I suggest you do if you need additional help about this topic as well as other topics, please check out my website. If not for anything, check out how well your university is doing on the CPA exam. You can check your score by college by section. You can check the average score and the average score per section. I also have additional courses on my website, financial accounting, managerial accounting, intermediate accounting, so on and so forth. Please connect with me on LinkedIn and like my YouTube and subscribe to the channel because I constantly update my videos. So this way, I don't want you to miss anything and connect with me on Instagram and Facebook as well. The balance sheet sometime referred to as the statements of financial position. Okay, so it can be called the balance sheet. It could be the statement of financial position. It reports assets, liabilities and equities, and it report those at a specified time. So when you look at the date of the balance sheet, it's going to be one single date such as December 31st, 2020 or any year. So it's not as of December 31st. It's not as of it's a specified date. It provides information about the resources. Well, what are the resources? The resources are the assets, obligations to creditors and equity to equity and net resources. If you remember the accounting equation assets equal liabilities plus equity and you saw this so many times in my course, assets are your resources. So it tells you what resources do you have? What obligations do you have? And what's the equity in the business? So what is the purpose? What's the one of the main purpose of the final balance sheet? It's going to help us predict the amount, timing and uncertainty of that magic word, future cash flow. So look at the balance sheet. It's going to tell us it's going to help us predict the amount. When are we going to receive the money? You know, what uncertainties do we have about our future cash flow? So this is the purpose of the balance sheet. So how so? How does it help us? Well, we're going to be computing eventually rates of returns that deals with the balance sheet. And we're going to look at those later on. It's going to help us evaluate the capital structure. Now, when we say the capital structure, what do we what do we mean by the capital structure? Well, assets equal to liabilities plus equity. Okay, liability and equity is our capital structure. Are we relying more on debt? Or are we relying more on equity? Is it 5050? Is it 4060? 4060? Is it 6040? So this is going to help us to the capital structure. And this deals with how are we financing the company? Are we relying more on debt? Or are we relying more on equity? And by doing so by looking at our capital structure, it's going to help us assess our risk and our future cash flow, because if a company relies, generally speaking, if they rely more on debt, generally speaking, they are a riskier company. Okay, but specifically, when we analyze the companies and the balance sheet, we're going to look at three different categories, flexibility, solvency, and financial flexibility. And what does each one of those mean? When we when we talk about liquidity, it's, it's generally related to the amount of time that's expected to pass until an asset is converted to a cash or a liability is paid. So basically, solve liquidity deals with short term debt service. What do we mean by this? It means are you are you able to finance your company or to stay afloat in the next 12 months or in a short period of time? Okay, until the liabilities, at least the current liabilities are paid. So are you going to be good in the short term? This is what liquidity, liquidity is, do you have enough liquid asset to meet your obligations? Solvency similar, but solvency, think of it as it deals with long term debt. And long term debt deals with long term. Okay, do you have the ability in the longer, the long term to pay your debt as they come mature? So it's going to help us look at this, this idea of the company. So we're going to be looking at ratio such as that to equity, debt ratios, as well as long term liquid solvency ratios. And we'll look at this later on. And it's going to tell us how fine how flexible is the fine is the company is. Okay, what is the flexibility? For example, can the company take advantage of an opportunity? If that opportunity arises? When can you take advantage of an opportunity when it's when you have access cash? It's when you have access cash, or if you don't have access cash, you have low debt. When you have low debt, and an opportunity came, guess what, then you can respond quickly by going to the bank and taken out alone, because you are not under debt financial financial trouble. Okay, so this is the usefulness of the fine of the balance sheet specifically, the usefulness of the balance sheet. So what are some of the limitation of the balance sheet? So the balance sheet is great. But what are some of the limitation? Well, for one thing, most assets and liabilities are reported at historical costs. And the key word is most, not all of them, because you're going to see later, a lot of our assets are reported on something other than the historical cost, maybe the fair value, maybe the not realizable method, maybe the LCM lower of cost or market, but a lot of it's still reported at historical cost. And historical cost tells us how much we paid for it. And it doesn't change the value. So it's not very useful. Okay, that's that's one, that's one limitation. The extensive views of judgment and estimate, a lot of items on the on the balance sheet, we use estimates and judgments, like when we do depreciation. Well, guess what, depending on the method that we're using, it's going to give us the depreciation amount or when we estimate bet that expense, or when we estimate our liabilities for warranties. So there's a lot of estimates that goes on the balance sheet. So, well, if there's estimate, there's a room for error, there's a room for mistakes. But we do what we can. But once you have an estimate, it may not be 100% accurate. This is this is the point. And many items, many items of financial values are emitted, like what, like, for example, think about your workforce, your workforce, maybe your greatest asset, or maybe your R&D personnel. Guess what, those items don't appear on the balance sheet, maybe your customer base, you have an excellent customers, you have a loyal customer base, you have a good reputation. Okay, but those are very hard to quantify assets, you really cannot put them on the balance sheet, as those are my assets, well, you can't. So there are some assets that are missing. Okay, so you can show some assets, but not all the company's asset. And this is where the role of analysts, the role of business, business experts, that will go into the company, talk to management, and find out what they are doing, and how well they are running the company. This is how the CEO of Berkshire Hathaway, Mr. Buffett, analyzes a company, he looks at soft assets, assets that don't appear on the balance sheet, management is the management, competent. So those are assets, those are assets that don't appear on the balance sheet. Identify the major classification of the balance sheet, what are the major classification, we already talked about them assets, liabilities and equities and hopefully you know what an asset is, probable future economic benefit obtained or controlled by a certain entity as a result of a past transaction, liabilities are probable future sacrifices. So assets are benefit, liabilities are sacrifices of economic benefit, usually cash, you sacrifice cash, arising from present obligation, you have an obligation to transfer an asset or provide a service. This is when you have an obligation, either you have to give them cash, or you have to provide a service in the future, and usually you do this in the future as a result of past transaction. So liabilities, something happened in the past created a current obligation, so it has a past current and future aspect. So something happened in the past, you borrowed money. Now you have a current obligation, you have to pay in the future. And the difference between assets and liabilities, assets minus liabilities equal to equity. And this is the residual interest in the asset of the entity that remains after deducting its liabilities and business enterprise, the equity, whatever remained, should be the ownership interest. So whatever remained is supposedly this is the value that goes to the shareholders. If we only have one shareholder, it goes to the whole shareholder. Now the relationship between assets, liabilities and equities were covered in chapter three. Okay, so if you're not sure, just go back, just keep going back in my lectures or go to chapter three in my channel, and take a look at how equity is created, so on and so forth. But now we're going to be looking at the classification of the balance sheet. And again, it's going to you're going to feel as if I'm going through a list of items, and I will because that's the only way I can go through this chapter. So we're going to look at assets, we're going to look at current assets, long term assets, PP&E intangible assets and other assets. Generally speaking, generally speaking, this is how a company reporter assets and these five categories, some you could look at them as two categories also. And what I mean by two categories, either long term, current or noncurrent. So everything else is noncurrent and you have your current assets. And current assets are what we're going to look at each one of them separately and liabilities, they have two categories, current and long term and equity, we have three main section of equity, we have more, but I will see that. So in practice, you'd usually see little departure of these major subdivision. Most companies, that's how they break down their balance sheets, current and noncurrent. Let's start with current assets, define what a current asset is. And after we define what a current asset is, look at what is included, what is included in that section. Okay, so current assets are what? Current assets are cash and other assets, generally speaking, cash is a current asset that a company expect to convert into cash, sell or consume, either in one year, or in the operating cycle, whichever is longer would always assume that one year is longer than the operating cycle, reason with a one year operating cycle. So what are we saying? Current assets are things that's going to be either converted to cash, sold or consumed, they're going to be gone in one year. What are some examples of those assets? Okay, and those assets, if you really think about it, they deal with liquidity. They're going to tell us, do we have enough liquid assets? Liquid is how fast could you turn something into cash? Do we have enough to pay off our current liabilities? And on the balance sheet, they are listed in the order of liquidity. Cash is the most liquid, short term investments comes next, one, two, three. Those three are considered the most liquid, then four is your inventory, five prepaid, and if you have supplies, supplies will be there. So again, those are the assets that's going to help you pay your short term obligation. Do you have enough of those? This is what the current assets are shown us. Do you have enough of those that you can survive in the near future? Okay, and how do we report them? How do we report them? So how do you report them on the balance sheet? Cash and cash equivalent is the fair value. If you have $100,000 in cash, it's $100,000 in cash. So if you have it in euros, you'll convert it into dollar and it's the fair value. Short term investments generally speak and you'd report them at fair value. And we have a whole chapter about investments, but generally speaking, if you have short term investments, you report them at fair value. Receivable are reported as the estimated amount collectible. So they are reported at how much you will expect to get for them. This is called NRV or net realizable value, NRV or net realizable value. So you'll have an inventory, receivable, then you will see how much of it you'll be expected to collect. And for each one of them, we're going to have a chapter. For example, for cash, just kind of walk you through this because this is the for cash and receivable, we're going to have one chapter. We're going to have one chapter for inventory, one chapter for investment. So eventually, we're going to cover each one of those in details. But receivable, that's how it's reported. Inventory is reported at something called LCM, lower of cost or market. So that's another method that we will use. And prepaid expenses are reported at cost. So notice what I said when we started this, I said most are reported at cost. So the only thing in these is reported at cost is the prepaid. And generally, the prepaid is not really a big, a large number in any company. So notice there is, we are going further and further from, we are going further and further from the cost. We're using other bases to value the asset. And what is LCM, lower of cost or market? We'll see that later on. We'll see that later on. I just note we use LCM, lower of cost or market. So what is the correct order to present the current assets? Well, cash is obviously the first. Then after cash, what comes next? Not inventory. Inventory is not. It does not come next because it's not as liquid. So account receivable, account receivable, they're both right. Then between, now we have, so we have cash account receivable, that sounds right. Then between prepaid and inventory, no prepaid is not. Inventory is more liquid than prepaid than prepaid. So the answer will be B. But between cash and account receivable, if we have investments, it's going to be investments. If we do have investments. So this is just an example of a multiple choice question. It's in order of liquidity. Which one can we convert into cash the fastest? So let's look at cash and what is considered cash? Generally any money available on demand is considered cash. Now we always say cash and cash equivalents. What are cash equivalents? What are cash equivalents? Cash equivalents are short term, highly liquid investments that mature within three months or less. So it could be U.S. Treasury. Okay, for example, you lend the government money for three months or for six months, but now there's three months less. A three month is remained for this, for the bond to mature. So any highly liquid investments that mature within three months. Again, we're talking about U.S. Treasury T-bills. And restriction or commitment must be discussed. So if you have any restriction or commitment on your cash account, you must disclose it. For example, here we're going to look at this company. Just we're going to look at some samples as we're working through this. So this way you'll have an idea what a balance sheet looks like and what type of description or notes do we need to attach to the numbers. So we have, we have Altera Health Care Corp. That's their cash position, 18 millions and some change. Restricted cash and investments, they have 7.1 million, almost 7.2 million. So now when they have something restricted, they have to tell you why is it restricted. So look at note 7. Note 7 it says we have restricted cash and investments consist of CDs, certificate of deposit, as collateral for lease agreement and debt service with interest rate ranging from 4 to 5 percent. So what they're saying is this, they have cash of 18 million, 18.7, that's free and clear. And they have some restricted cash for 7.2 million. And they tell you why the cash is restricted. As an investor, as a creditor, you need to know why they do they have restriction and they're telling us here, they have it in a form of a CD collateral for a lease agreement and debt service. So basically the bank tells them for me to lend you money, you have to deposit some money and keep it on hold. And this is why therefore the cash is not free, it's restricted. So if they combine those two together, it will appear as if they have that's 25, around 26 million. And they don't have to want, they do have 26 million, but 7.2 million of it, they cannot really touch. Okay, so they have to tell you that's the case. This is another example of current assets for O-incorporation. So they have, this is cash and this is restricted securities. Again, you would look at no 23 and sometime you might have other restricted securities under other assets. And here this is how they, you could read this just to see how sometime they have restriction on certain investments. The insurance settlements fund are held and invested by the fire board settlement trust and are available to satisfy depending on future asbestos related liabilities. Okay, these assets of the trust are comprised of cash and marketable securities and are reflected as O-incorporation consolidated balance sheet as restricted assets. Okay, so those are restricted securities and they're telling you why they're restricted. It's to pay asbestos liabilities. Okay, so if there's any restriction, you have to tell us what's the restriction is all about. Short-term investments, again, we're not going to look at them in details a lot in this chapter, but believe me, there's one whole chapter. There's one whole chapter devoted for this. And usually this chapter is intermediate too. Now, if you really want to see this, I do have the chapter on my YouTube, but okay. So if you have investments, investments, depending on how you classify your investments, you could classify it as trading, you can classify the investments as available for sale, or you could classify the investments as held to maturity. So if it's held to maturity, the only type of investments you could have is that, because that the only thing that mature, you would report this as amortized cost. So as far as your concern for this chapter, you're reported at cost. Okay, the classification could be current or noncurrent. So that could be a bond. So if you have money, you could have invest some money in bonds, and that investments could be current or noncurrent. If it's going to mature within 12 months, then the bond is current. If it's going to mature in five years, it's noncurrent. Now you could also have investments in stocks and bonds. So you could have stocks, stocks and bonds, and you could classify them for trading. Trading means what? Trading means you're going to buy and sell them for profit purposes in the short term. You report those investments at fair value, and because you're planning to sell them in the short term, they are considered current assets. And this is the short-term investment section. Available for sale securities, you could have available for sale. Available for sale means not trading. You're not going to trade them, not for trading in the short term, and not HTM. HTM is held to maturity. So it's not this category. It's not this category. What's left is available for sale. Kind of a default. You could have both debt and equity, which is stocks and bonds. They are reported at fair value. They could be current or noncurrent. And what's the difference between trading and available for sale? They do sound the same between this and this. They do sound the same, but they're not. The way they are reported, the way we report the gains and losses is different between the two. We'll worry about this later on in another chapter. And this is an example of short-term investments for Intuit. So this is if you look at their balance sheet, this is their cash and cash equivalent, and they have short-term investments. And definitely, definitely, definitely, the company will need to show you what are their short-term investments. They don't have to give you a detail, but they have to give you some sort of a summary. So the following schedule summarized the estimated fair value of our short-term investments. They are all available for sale. That's their category. And I used to do this for a company where I have to prepare the schedule when I used to prepare their financial statements. They have corporate notes. So they lend some money to corporations. They have municipal bonds. They invest some money in municipal bonds. And they have government securities. And I'm assuming that these all adopt. Yeah, this should be innate. So this is older investments, older short-term investments. So they don't have stocks. For one thing, if you notice here, they don't have stocks, mostly bonds and borrowing. It seems very conservative. This is Intuit. This is the company that creates TurboTax and QuickBooks. This is the company that pretty much drove H&R Block out of business. But yes, Intuit. They really do a good job. Receivables. So the company will have to show the receivable. Most categories of receivable should be shown on the balance sheet or the related notes. And the related notes. So a company should clearly identify anticipated losses due to in-collectables. So if the company thinks they will not be collecting certain amount of receivables, they have to tell you how much is it. Okay, this is the... You remember this? This is called bad debt expense. This is as a result of the bad debt expense. They have to show you the allowance amount. Amount and nature of any non-trade receivable. Generally speaking, when you sell your product and you sell it on account, it's considered a trade receivable. So when we say receivable, what we mean is trade receivable. Okay, so if the company has non-trade receivable, so what could be some non-trade receivable? Well, it could be an income tax refund. So the company filed for a refund and they're waiting for their money. It's a receivable, but it's a non-trade. It has nothing to do with their operation. It could be a lawsuit. They want a lawsuit and they are waiting to be paid. It's a non-trade receivable. Also, they have to show you if there's any receivable that's being held as collateral. Because what companies can do, they can take the receivables and do what? Pledge it, pledge it like any other asset for a loan. So if they have any of these receivables pledged as a loan, then they have to show you that is the case. That is the case. And they have to disclose it under financial statements. So this is the receivable for Stanley, Black and Decker. So this is the receivable. And notice it says net. Net means what? Net of the allowance. This is how much they expect to receive in cash. Expect to receive in cash. Maybe the gross is higher, but this is how much they expect to receive in cash. Okay. And here the notice here, if you look at the node B, they're showing you how much is trade. How much it's trade note where they're lending money to operate the business. Other account receivable, other means other things that they're waiting. It's a substantial amount. This is the gross. The gross is 1,473,000. Notice the gross obviously is higher. This is the gross. Whoops. This is the gross amount.  And this is the amount. The net is the amount that we show on the income statement. Just give me one moment, please. There we go. We're back in business now. Okay. So this is the amount that we show on the income statement. Okay. The net amount. As far as receivable is concerned. Inventory, when we have the inventory, we have to tell you how are we reporting the inventory. For example, lower of cost or market. And most companies use this method. What is this? We're going to have a whole chapter about inventory. You would look at it later. Which cost flow assumption are they using? Are they using FIFO, LIFO, the weighted average, specific identification, any method they are using, they have to disclose it.  So they have finished product, work and process and material. And most manufacturing companies, they have three types of inventory. Manufacturing companies, they will have material, work and process and finished goods. So this is their total inventory. And this is the note. And you always have to disclose your inventory method. Inventories are stated at lower of cost or market using the FIFO basis, first and first out. Again, we would have a one-fold chapter about inventories. Prepaid expenses, generally speaking, they are not an important number. They're usually a small amount in relationship to other assets. And what's prepaid expenses? Prepaid expenses are payment of cash that's recorded as an asset because the service or the benefit will be received in the future.  So every time you make a cash payment before you expense it, because remember, you have to record the expenses in the appropriate period. So if you reported any expense before that expense is supposed to be incurred, you just have to keep it as a prepaid expense. And let's take a look maybe at a balance sheet that shows prepaid expense. And here's prepaid expenses and other current expenses. They blend them all together. And usually it's not much to it. It's not much to the prepaid expenses. And this is for Hasbro. And I believe they have a lot in relationship to their total asset. That's around less, more than 10 percent, more than 10 percent. A summary, basically, cash and other assets a company. So what's the summary? What's current assets? This is the definition of current asset. And this is the total current asset for a company, a picture of the whole thing. Now we're going to move from current assets, obviously, to non-current assets and non-current assets. Generally speaking, we have securities, which is a tangible fixed asset or PPNE, special funds, and non-consolidated subsidiaries or affiliate companies. So we're going to look at each one of them separately. Again, go through an overview. What would the balance sheet looks like? And eventually, we're going to find out, you know, how does it work? So securities, what are securities? Securities are investments. But those investments are long-term. Remember, we had short-term investments earlier. We talked about short-term investments. Those are long-term investments, not short-terms. Bond, common stock, long-term notes. We're going to have tangible fixed asset under investments, such as land, health, for speculation. We're going to have maybe a special fund, sinking fund, pension fund, plant expansion fund, or cash surrender value of life insurance. And we're going to have sometimes non-consolidated subsidiaries or affiliate companies. Again, we're not going to go through, you know, we're not going to go through each one of those in details, which is going to give you an idea what type of assets a company could list under long-term investments. Okay? So long-term investments usually will not include, so will not include this category, because trading is in the short-term. So it's either it will have investments available for sale or held to maturity, but it should not have trading securities. Generally speaking, because the nature of trading securities is to trade it in the short-term. So this is an example of a company with investments, an ABC company, investment in UC Inc. And they have a notes receivable, as well as they have land, health, for speculation, a sinking fund, a pension fund, and those are all investments. For marketable securities, management intent determines current or non-current. So if you have stocks and bonds, how do you know if the stock or a bond is a current or a non-current? It all depends on the company's intent. Are they planning to hold them in the short-term? Are they planning to sell them in the short-term? Are they planning to hold them forever? Or it's someplace in between. This is how we determine if it's trading, held to maturity, or available for sale. So what else we could have under long-term investments? So we're looking at stocks. We could also have land held for, and notice here for speculation. Speculation means to make a profit. Why do we need to differentiate this? Because if you bought a piece of land, the first thing you think about, well, it's a land, it's a property, plant and equipment, true. But sometimes the companies buy a piece of land as what? As a speculation. Speculation means what? Speculation means they want maybe to sell it if the prices go up. So that's not really an investment for property, plant and equipment. Because when we say property, plant and equipment, what we mean, what we mean is it's going to be used in operation. So this land, it's not going to be used in operation. Okay? So this is why we say it's held for speculation. If it's held for speculation, it's listed under investments. Now we could also have what's called the sinking fund, the pension fund, cash surrender value. Basically a sinking fund is when you put money away, you put money away for a purpose. And that purpose could be to retire a bond or for a future plan. But usually you invest this money and it's invested in the long term and you cannot touch it. It's a sinking fund. A pension fund is when you promise your employee pension, pension payments after they retire. So, well, before they retire, you have to create a fund and do what? And finance this fund, put money into that fund and invest that money for your employees when they retire. So this is called a pension fund. So you'll have different assets and that pension fund. Also you could have cash surrender value and life insurance. You could have investments in life insurance for employees and the company. What else do we have? And we could also have under these categories, investments in consolidated subsidiaries. So those are investments and other companies, but we don't consolidate those companies. So we have investments and other companies, but we don't combine both companies together. Therefore, we're showing the investment separately because if we combine them together, then we will not show the investment here. It will be combined with the main balance sheet. So this is the Motorola long-term investment section. So notice they have equity investments, which is stocks. They have other investments and they have fair value adjustments to available for sales securities. You don't have to worry about this fair value adjustment at least now, but later we're going to have, chapter 17 will cover this topic. So chapter 17, we're going to talk about investments, how to account for investments. So the next thing on the balance sheet comes property, plant and equipment. And obviously, what goes under property, plant and equipment? Property, plant and equipment are tangible long-lived assets. So notice they are tangible. Tangible means you can touch them because we're going to have assets that we cannot touch. Okay? Tangible long-lived assets used in regular operation or in operating the business. Okay? So what could be examples of property, plant and equipment? Those could be land, but remember, not land, health, for speculation, building, machinery, furniture tool, and waste and resources such as minerals. So those are the assets that we consider them property, plant and equipment. And sometime you know them as P, P and E. Sometime they are called fixed asset and not sure if they're called something else, but those are the two names that I can think of, P, P and E and fixed asset. Maybe they're called something else. With the exception of land, with the exception of land, with the exception of land, a company must either depreciate or deplete if it's a natural resources, these assets. So we have to eventually expense them, depreciate them, and deplete them means expense them. And expense, depreciation expense means allocate the cost to period benefited. To period benefited. Okay? So this is what we mean by depreciation. So we have to eventually expense them. Okay? Now why don't we depreciate land? Let's just talk about this because to depreciate something, you have to assign a life, a number of years. And land is considered to have indefinite life or unlimited life. That's why when we have an unlimited life, when we determine and an asset has an unlimited life, then you cannot depreciate. You cannot allocate the cost over the period benefit because remember, depreciation is taking the cost and allocate it over period benefit. Well, the period is unlimited. So how could you allocate, how can you allocate the cost over an unlimited period of time? So that's why land has unlimited life. Therefore it's not depreciable. And this is an example of a balance sheet with property, plant and equipment, building, land, machinery, capital leases, leasehold improvement, accumulated depreciation. This is the contra asset account. And basically what the company will have to do, they'll have to disclose the basis, it value property, plant and equipment. And if we're using USGAP, let me tell you what the basis are. The basis is the cost, basis. It's very simple. When we buy property, plant and equipment, we keep it at cost. And we have to disclose, for example, we may have a schedule of the buildings, of the major buildings that we have. Maybe we need to talk a little bit about the machinery and equipment. How do we depreciate the machinery and the equipment? How do we classify each assets in what group, so on and so forth? How do we come up with this? If there is a lien, if there is a lien against that machinery or that land or that building, we need to disclose this. So we would need additional disclosure, at least which depreciation method we are using, too, because we are depreciating those assets. So we need to tell the users, are we using the straight line, accelerated depreciation makers or whatever method we are using, not makers, makers for tax purposes. Also, this is the property, plant and equipment for Mattel. Mattel is the company that manufacture Barbie dolls. So they have land, building, machinery and equipment, leases, leasehold improvements, total assets, less accumulated depreciation. Then they have tools, dies and molds, net amount, then net property, plant and equipment. Okay. So this is an example of a company property, plant and equipment. Once again, they'll have to do additional disclosure, additional disclosure about those property, plant and equipment. Okay. Intangible assets. We're going to have a whole chapter about actually property, plant and equipment and intangible asset. I know we're going through this, it seems as I'm going through the index of the textbook because every topic you're covering now, we're going to cover in details and another chapter, one whole chapter for property, plant and equipment, one whole chapter about intangibles, one whole chapter about investments, one whole chapter about inventory. I know we're going through them now, but eventually we're going to learn the details of each one of them. So what are intangible assets? Intangible assets are assets that lack physical substance and are not financial instruments. In other words, they are not stocks or bonds and they lack physical existence. Okay. What are some examples of intangible asset, goodwill, which we'll talk about later, patent, trademark, franchise and copyright. And if you watch loan sharks and hopefully you do, they always ask them if they have an idea that they patent this idea because when you patent an idea that's considered an asset. Okay. Now we're going to learn later, you know, how do you put the patent on the books? How much you can and cannot if you bought it or if you created yourself, but a patent is an idea. Then it's a it's an asset. Trademark, for example, if you see the Apple phone, it has the Apple, that's the trademark for the iPhone. It's worth a lot. Why? Because trademark have a market value. So if someone sees the Apple sign, they trust the product because the product is repeatable. So that's why it's important. The franchise, for example, if you operate a McDonald or a Subway, when someone sees the signs, they most probably will stop by, they'll trust the name. Copyrights for books and songs. So so you will protect the author, protect the author's copyrights. We're going to see later that certain certain intangibles have limited life and others will have unlimited life. And when you have unlimited life for an asset, you will test it for impairment. For example, goodwill has an unlimited life. Okay.  Amortize is the same thing as depreciation, but it's for intangible assets. You don't depreciate intangible assets, you amortize intangible assets. And let's take a look at this example. We have Patrick Corporation adjusted trial balance, contain the following, the following assets, prepaid rent, goodwill, franchise fees receivable, franchises, patent, trademark, prepare the intangible section. So which one of those are intangible and which one of those are not intangible? Okay. So let's take a look at this. All right. prepaid, prepaid rent, prepaid rent is not intangible. Remember prepaid rent is a current asset. Goodwill is an intangible asset. Now what is goodwill? Because again, I said I'm not going to cover goodwill, but goodwill is when one company buys another company. And let's assume one company, let me just explain this real quick. Company A buys company B. And when company A buys company B, they would look at company B. Let's do it on the, let's do it real quick here. So what they do is they look at company B and they would say company B, they have assets of 450,000. And this is the fair market value. In other words, this is how much those assets are worth today at fair market value on the market. And they would look at their liabilities. So because when you buy a company, you buy both their assets and their liabilities. And the fair market value of their liabilities, let's make it 100,000. So the equity or this business is worth on fair market value, $350,000 fair market value. So this is how much this business is worth, 350,000. Here comes company A and company A actually pays to buy it. They pay, let's assume they pay 500,000. So they pay 500,000 for something that's worth 350. So when they journalize the entry, they will debit the assets that they purchase. They bought assets 450 worth. They were credited their liabilities because they did add 100,000 of liabilities when they bought this company. They will credit cash because they paid cash 500,000. Now what's left? What's left is 150 because this entry, those two end, this is 600,000 and this is only 450. The difference between the two is called goodwill. Now what is goodwill? Goodwill is the excess amount that we paid over the fair market value that we cannot assign to any asset that we purchased. So in other words, we paid 500,000. 500,000 is 150,000 more than what the company is worth. Now why did we pay this? The question is why did we pay this? Well, we really don't know why or we cannot attach this additional value to an asset. It could be because of the location of the company. It could be because of this company's connection to the government. It could be because of their customer base. But certain things that we cannot assign are specifically assigned. So therefore we call it goodwill. So it's that everything else that everything else that we cannot explain. That we paid extra, we cannot explain, we cannot put on the financial statements. So goodwill indeed is an intangible asset. So goodwill is an intangible asset. Franchise fees receivable. Don't be misled. This is receivable. This is an asset. We are waiting for $2,000. Now franchise is yes. Franchise is an intangible because you paid a fee. Patent is an intangible. Basically a patent it's extremely important especially for pharmaceutical companies. That's an intangible. Trademark are also intangible. So those four are intangibles, which are goodwill, franchise, patent and trademark. Total of $140,000. This is the intangible. Again we'll see this in chapter 11 in details later on. Intangible asset, this is for PepsiCo. So they have goodwill. A lot of goodwill they buy other companies. That's why they create goodwill. They have trademark and they have other identifiable intangibles. So I don't want you to think that this trademark is the PepsiCo trademark because when you create your own trademark you don't put it on the books. We'll talk about that later on. But this is a sample of intangible assets. The companies could also have other assets. They may include long-term prepaid expenses, non-current receivable assets and special funds, the third income taxes, which we'll see that later on in chapter 19. This is the dreaded chapter 19. No one likes this chapter. Property held for sale, restricted cash or other securities. So those are if it doesn't fit anywhere, you could put them here if you'd like to. But remember, property held for sale, it could also be long-term investments. But this is the category. In other words, the company will always have this option. So if they don't know where to put an asset, it's like it's not long-term, it's not current, it's not PPNE, it's not property, plant and equipment, it's not intangible. Well, if it's none of those, guess what? You could put it under other assets. So you'll always have this category. Okay? For example, if you have long-term prepaid expenses, well, it's not current, but it doesn't fit any other category. So you put it here. Okay? Okay, so this is an example of other assets for this company. They have prepaid pension costs, and they have deferred income tax. Okay? That's what they have. Again, this is the assets that don't fit anywhere. So we have create a category. The next thing we'll look at is liabilities. And liabilities are a little bit straightforward because they only consist of two categories, either current liabilities or noncurrent liabilities. So it's either classify as current or noncurrent. And how do we determine if a liability is a current or a noncurrent? Well, a current liability is a liability that reasonably expect to look with date, either through the use of current assets or the creation of current liability within one year. Assume in one year is longer than the operating cycle. So any liability that we expect to pay off within the next 12 months is considered a current liability. So that's the liability that would expect us to look with date, either a current asset, which is cash, or the creation of a current liability, basically refinance it. Ask the creditor to give us more time.  We'll talk about this maybe in a moment later on, current maturities of long-term debt. Now, this is an example for a hella-burton company. This is their current liabilities, notice, short-term notes, and most companies, they will have those too for sure. They'll have some sort of a short-term loan and accounts payable, and also they would have accrued employee compensation and benefit, because if they have employees, they're going to have, they're going to accrue some wages, unearned revenue, maybe somebody paid them upfront, income taxes payable, accrued special charges. So those are some typical, and here they have a large, other current liabilities, which is, they'll have to explain this in the notes. We don't know what this is, but this is, those are the typical current liabilities that you will see for a company. The next thing we look at is long-term liabilities, long-term liabilities. Long-term liabilities are obligation that do not reasonably expect to be liquidated within the operating cycle, which is, we assume to be one year. So those liabilities that will stay with us, that will stay with us, longer than one year, longer than one year. Okay? Like what? Like long-term debt, obligation capital lease, of a capital lease, and the third income taxes. Those are liabilities that will stay with us longer than one, longer than one period, or those liabilities we would require to reissue long-term, long-term debt to refinance them, to refinance them. Okay? You could read this article, it's about before the dot-com, bubble. Concerns about liquidity and solvency let creditors of many dot-com companies to demand more assurance that these companies could pay their bills when due. A key indicator for creditors is the sum of vendors demanded that their dot-com customer sign notes stating that the good ship to them would serves as a collateral for the transactions. Okay? So really, if you really think about it, your suppliers, the company that supply goods and services, they're the best people that knows how to evaluate a company because think about it. When a company runs into trouble, the first thing they do, they will start to ask their suppliers to give them more time or to give them more time to pay or they will even stop paying altogether. So your suppliers knows a lot about the company and that's why a company like Apple, when they deal with a supplier, they make sure they have a secretive agreement between them and the supplier and the supplier cannot breathe a word about how much they are supplying Apple. It has to be a secret. Another recent bubble in the real estate market created a working capital and liquidity crisis for no less than a company that's called Bear Stern, which is gone now. Bear Stern won one of the biggest investors in mortgage-backed securities, but when the housing market cooled off, the value of the collateral basically went down. Okay? For example, when a reported, when a report predicted that Amazon working capital turned negative, the companies vendor began to explore steps that would ensure Amazon would pay them. Securities dropped dramatically, which is their stock and the market began to question Bear Stern's ability to pay its obligation. Well, again, short-term liabilities are extremely important for any company because if you cannot, if you cannot meet your obligation, it's a problem. It's really a problem. Let's take a look at this example. Included in Adam's company, December 31st, 2014, trial balance are showing the following account. Accounts payable, pension asset liability, pension asset slash liability, discount on notes payable, unearned revenue, bonds payable, salaries and wages payable, interest payable. So the assets have to appear the long-term liability section. So which assets are considered long-term? Well, I'm going to tell you right now. Accounts payable is not. So this is not. And then we cross accounts payable, the easy one that we can easily cross. Accounts payable is not. Pension asset liability, yes. Pension usually, generally speaking, when a company has a pension liability, it's definitely not in the short-term because this is planning for the future. So this is planning for the future. Discount on bonds payable, generally speaking, bonds payable are long-term debt and the discount on them is a contra liability, which is also long-term debt.  Bonds payable is a long-term debt. Salaries and wages payable, that's a no, no. That's a current liability because no one will wait for you one year to pay them. Interest payable, generally speaking, banks, they want their money and the government don't wait longer than a year. So the three long-term liabilities are pension liability bonds and discount. And discount is a contra liability to reduce this amount. And the other ones that I crossed out, you might be asked what are the current liabilities and those will be the current liabilities. All right, let's take a look at this example and this is an example for the Great Atlantic and Pacific Tea Company. Their current liabilities then their long-term liabilities and they'll say C-note and here what they do is they break down their long-term liabilities. They have that consist of 9.5 senior notes. So this they pay 9.5% on this note. They have a mortgage and other notes that they pay 9.9. They borrowed from the bank this much at 9.7 in commercial papers at 9.4. And I remember when I used to prepare I remember certain things really well. For when you have that, you have to list all the classification of your debt. So that's one of the things that you have to disclose. Show me the breakdown of your debt and what is your average interest rate now? They can either put it there or someone can easily calculate the average interest rate that this company pays. Now you have this is your total long-term debt.  This is the current portion of the long-term debt. So this is so the total debt that this company owes is 314,931. This is the total debt total long-term debt of this amount 60,619 this amount here which is I'm going to highlight in blue highlight in a different color. This amount here is due the next 12 months. So the total debt that's going to be with them later on after they make the payments next year is 254,312. And I used to do this a lot when I was in practice. Well I still practice little bit but I no longer have clients that have a lot of debt but for companies they might have six, seven different debts maybe sometime more but this is what you have to do. You have to break it down and you have to show if there's any collateral against that debt. The last section of the balance sheet is the owner's equity section. We're not going to really get into this because we're going to look at this later on in the tails when we get to chapter sorry when we get to chapter 16 but let's cover what we need to cover. When the company issues stocks they have to show if the company has a power value. So the power value or the stated value of the shares issued. So there's a power value. Let's see if there's an example. Oh there's an example for Las Vegas Sands Corporation. For example the power value is 0.001. So what does that mean? It doesn't really mean anything but if there's a power value they have to disclose the power value. They also have to disclose how many shares are authorized. So they are authorized to issue 50 million shares. Of those 50 million 3.6 million are issued and outstanding. It means they are sold. Actually this is the preferred stock. The common stock the power value is 0.001. The same as the preferred. They have a billion shares authorized. 707 million of them are rounding. 707 million are issued. Okay and this is the dollar amount. This is the dollar amount. So those are the common stock. Additional paid in capital is what the investors put into the company. So those accounts here. Preferred stock, common stock and paid in capital. Those are called capital contribution. And capital contribution is what the investors invested in the company. Okay so those three accounts shows that. Then so this is capital stock. We looked at the power value then additional paid in capital. Those are the capital contribution. So those two are considered capital. Represent capital contribution. Then what happened is the company will have another major category which is called retained earnings. Oops sorry. Okay and retained earning is the corporation. Let's do a different color. Retained earnings is the corporation and distribute earnings since the company started. So when the company makes a profit they can either distribute it or keep it. The amount that they keep from the earning is called retained earnings. So this is usually another main component of the balance sheet. The equity section. So this is the first main section which is contributed capital. I just highlighted in red. This is what the investors put into the company. Then retained earning is another major component of the equity section. Now you're saying so what's that in between? What's that in between? That's called accumulated other comprehensive income. We'll talk about that later on. It has to do with comprehensive income. It has to do with certain items that bypass the income statement for now. We'll look at those later on. Just know that there's something called other comprehensive income. Generally speaking is not a large component. And sometimes the company might have non-controlling interest. Non-controlling interest is the portion of the equity of the subsidiary not wholly owned by the reporting company. So basically what happened at some point what companies this Las Vegas Sands maybe they bought another casino and they purchased 95% of that casino. Some other casino. So there's 5% that they not own. So 5% of the company they don't own. So they have to show the non-controlling interest. The interest that they don't own which is represented that much. Why is it an equity? You don't have to worry about this. Just know that non-controlling interest you know what it is. It's the portion of the equity of the subsidiaries not wholly owned by the reporting company. Just know what it is. Eventually you will take advanced accounting and you will know exactly how to calculate this component. And let's take a look at this example and basically what we need to find out is a classification on the balance sheet. Where do these items goes on the balance sheet? Well let's start with the first one. If you have an investments in a preferred stock so you bought stocks well think about it investments. Well we need more information because remember an investments could be short-term and investments could be short-term or long-term investments. So for this it could be current or long-term investments. Treasury stock which we did not talk about it should have been listed here under equity. Treasury stock is an equity and treasury stock to be more specific it's a contra-equity. Contra-equity. What is treasury stock? Is when the company buys back its own stock. When it buys back its own stock. Common stock we already know it's part of stockholders equity. Cash dividend payable the word payable tells you what? It's a liability. And what type of a liability when the company promise to pay dividend they don't wait a year longer than a year to pay it. Usually they pay it fairly quickly so it's a current liability. Accumulated depreciation. This is a contra asset and it goes under the property plant and equipment. PP and E it's a long-term property plant and equipment. Interest payable we know from payable it's a liability. And when you owe someone interest they want it fairly quickly. A deficit a deficit and this is what they mean deficit in retained earnings. And remember retained earnings is that amount that we keep the profit but sometime what happened and we distribute all the profit and more than the profit that we incurred over the years. And what happened when we do this or we keep on on carrying losses and the retained earnings goes to zero there it goes negative zero. Once retained earnings goes below zero we call it deficit. Now trading securities this is easy. Trading securities is a current asset. And unearned revenue remember unearned revenue is the money that they paid us before we perform the service. When someone pays you this money they don't wait longer than a year for you to perform. So it's a current liability. Let's see what we have. Prepare the classified balance sheet using the report and the account format. So when we prepare a balance sheet we could use the account form or the report form. Okay. So the AICP indicated that all of the 500 survey companies either use the report form or the account form. Sometime collectively refer as the customer reform. Okay. That's fine. This is the report form. The presentation of the balance sheet meets the objective of the financial reporting to provide information about the entities, claims and resources. Obviously this is what we were talking about. This is the report format.  Please like this recording, share it. And if you are again if you have a CPA prep course that's fine you can keep your CPA prep course but you might need additional explanation. I do provide you with additional explanation. Your CPA exam is 20 to 40 year investment. Don't shortchange yourself. My subscription is nominal based on the value and based on the long-term investment that you're going to be making in yourself by passing the exam.


joined by a member of our show. He's a part of the show as well. We talk to him every Monday. They play usually on the weekends, but they played yesterday, so Sam Donald joins us now, and I have a nice warm welcome for the quarterback of the jet, Sam Donald. I think people are upset he cut the line though. He cut the line really. Sam Donald reported on 9870 ESPN Brunch by Miller Light and the New York Structural Steel Painting Contractors Association. I always wonder, Sam, thank you for coming in after playing last night. When you play a game like that, the next day, do you ache? Do you feel pain?  You know, I thought really, for the most part, our offensive line did a really good job. I mean, running the football, everyone did a really good job in the running game. I thought I could have done a lot better in the past game. Again, really good team. We had our chances in the first half, but you know, once they got going on offense and, you know, when we kind of stalled a little bit there in the beginning of the second half, it was hard to stop them. I don't know if you got this feeling. I saw some of your teammates said this as well. I just had the feeling watching the game. If you guys scored at the end of the second quarter, it might have been a different vibe. I don't know if you win, but it might have been a different vibe. Do you feel that? 100%. I mean, when you're down there, especially against a good team, really against anyone in the NFL, you know, if you get a chance to go down there and score at the end of a, at the end of a half, you got to make the most of that opportunity. You know, I think that killed us, especially the turnover.  You know, just poor, poor timing as well. So it was just, you know, it's not going in the half, having that happen. And then in the second half, we couldn't really get anything going there in the third quarter. Is this the best team you faced this year? It's hard to say. Really? Yeah. I mean, that offense was rolling. Um, you know that Lamar is playing about as well as anyone could play in the league right now. So, and their defense was tough. So I was one of our, our toughest challenges so far this year for sure. Did you, uh, did you and Lamar have any dealings, uh, like post college pre NFL during that time at all? No, no. So are you really just getting to watch him for the first time sort of now as it's unfolding in front of all of us? I mean, I watched him at Louisville when he won the Heisman. I mean, he was, he was balling then too. I mean, I had a good feeling that he would do really spectacular in the NFL too. So do you think it was weird though when people started doubting him before the draft? Like I always found it odd that I mean, people are doubt, people doubt everyone before the draft. They, they try to find every thing that's wrong with her, which they should do. You know, it's, you know, it's a huge, especially if you're going to take a quarterback in the first, second round, uh, you know, that's, that's an important pick, especially if you're going to pick a quarterback there. So, um, people are going to doubt any time you pick a quarterback in the first round, they're going to doubt that person. But, um, all things considered, I think he's doing a great job handling it. And he's been balling. You know, I wanted to ask you this because I asked you about how your body felt. He said, you know, you're the lanky yet. That's, that's the game. Can he continue to play like that and run and get hit at more than most quarterbacks and survive? We'll see. I think, you know, Vic did it. Michael, Vic was able to do it all those years.  So, um, I think if anyone could do it, he could. Towards the end of the game, the cameras caught you having a bit of a, I wouldn't say heated conversation with Gates, but you seem like you were frustrated. Anything to that? No, no, there's nothing to it. And it wasn't, you know, I wasn't frustrated with Gates or anything like that. It was the situation. Uh, I believe it was in the fourth quarter. Uh, you know, it was just a frustrating time. We, uh, went forward on fourth and short. Didn't get it. Um, so I was just kind of talking about the play and, um, it wasn't me, you know, complaining to Gates about anything or anything like that. It was just both of us being frustrated. Now, if you watch the video, I don't know if you're really going to take us into the conversation, but the backup quarterback, I think, was standing to the right.  You said something to Gates and the look on was Phel's face. David Phel's. Yeah, he was like, I mean, he was stunned at what you said. I mean, did you say anything that would stun him? No, no. Have you seen what the video on top of that? Yeah. Yeah, I've seen it. I have to look this up now because I've not seen this.  Uh, but there was, you know, it was a conversation, uh, and it wasn't heated. I think we were both just frustrated at what was going on and, uh, that was really, uh, there was nothing really to it. Do you have a relationship that if you were frustrated or you disagreed with something that you could have that conversation? Absolutely. I'm watching the video. It seems that way.  Yeah. You know, I think, uh, there's definitely better ways, you know, if we are going to hash it out, which that wasn't even the case at that moment. But you know, if we are going to hash it out, it's not going to be on the field. We both know better than that. Uh, but I think during that situation during that span of the game, when things were kind of getting out of control there late in the fourth quarter, uh, you know, my emotions or really our emotions got the best of us. If you get home tonight, go, go Google Phil Sims and Bill Parcells. I mean, Parcells would scream at him constantly. That was more one sided. Yeah.  Right? He hasn't done that yet. Right. No. And if he, if he did, I would probably not say anything back to him. So has, has, I mean, I don't want to be dramatic, but has this been everything that could go wrong? The season has gone wrong. Um, I mean, there's a, we could make a lot of excuses for why, you know, we're not doing well or we're not winning games. But you know, our team has done a great job of being resilient and going out there and making the most of every Sunday or Thursday night. So, uh, we've been doing, you know, we've been, we've, we've also had opportunity. I mean the end of that second half, I, like we said, uh, we were moving the ball. We were playing well. Uh, and then I just made that one critical error, uh, the turnover that killed us and, uh, you know, but we're not far off. I know it seems like it, but I mean, we're not far off and guys in the locker room believe and that's really the only thing that matters. Well, one thing that has worked out this year that you can affirmatively point to is the dynamic between you and Jameson Crowder. Um, what's your guys relationship like and how nice of a security blanket is he to have? I'm a Redskins fan. I miss him terribly, but it's certainly your guys game. Yeah. Crowder is awesome. Uh, he just goes out there. Uh, you know, you can kind of tell when he plays, I say this about a lot of guys and if they're a receiver, if they're a skilled player, you can tell that he's played basketball before and that he was a really good basketball player. He's just got a really good feel out there. And for him, just, uh, almost on that first touchdown, I felt like the play was almost over. And then, you know, he kind of just snuck in the back corner and I kind of felt him and the defenders, you know, eyes were on him and he wasn't looking at me. So I thought I could fit the ball in there. And, you know, he did a really good job of coming back after the one that he dropped. And, uh, yeah, I've just, you know, had a really good report with him this whole year.  Did you want to come right back to him after he dropped that one?  I mean, is that important for quarterback? Let me get right back. So it's not on his mind. Absolutely. I mean, you're not thinking about it, too much. But for me, it's in that moment. It's like, all right, whoever's open, I'm going to throw it to him. You're not really thinking, oh, I got to come back to him because he just dropped it. You know, we're professionals. We know that we have a job to do and we're, we're going to get it done if things don't happen the way they're supposed to. Like, if he doesn't catch a ball, he knows I'm coming right back to him if he's open. Is anything, I mean, I always wonder what's said in that huddle. Like, after he drops it, do you look at him go, what was that? I mean, you just don't say work. No, I mean, I kind of, you know, me and Crowder have a good relationship. I kind of smiled at him like, come on, bro, he's serious. Especially after, after he caught the touchdown afterwards. Right. That's when I was like, could have made a lot easier for you. Sam, I know you're not an excuse maker, but the numbers don't lie. Road team's on Thursday, especially if they're like a two touchdown dog. It's impossible. It really is. I mean, how, how unfair is it to play these Thursday games, especially short turnaround against great teams? I mean, everybody has to do it, but for somebody that used to playing once a week, how tough is it to just turn around on a Sunday and then play that next Thursday? It's tough, but I mean, every single game you play in the NFL is tough. You know, it's going from Sunday to Thursday. You have to cram it in. You have to cram your schedules in just like the home team does. You know, the only difference is that's traveling, which wasn't bad. You know, it was only a two and a half, three hour train ride that we took to Baltimore.  And you know, there's, I don't think there's really anything to it. It might be coincidence. I think if now if teams have to go cross country, I think that's a different scenario. But for us, it wasn't an excuse at all. We'll talk with Jack quarterback, Sam Garner. We'll take a brief time out. We'll come on back. We'll finish it up until six o'clock with Sam, but Sam nice enough to come into Buffalo Wild Wings. The fans are thrilled to see him a lot of Sam Garner jerseys there. And we'll be back in just a moment right here on yes and 98 70 SPN show everybody. We're in the middle of the Sam Garner report brought to my middle light, the original light beer brewed for more taste and only 96 calories. Middle light hold true and the New York structural steel painting contractors association to learn more about the New York structural steel painting contractors association. Check out NYS SPCA.net. And we are joined here at Buffalo Wild Wings in the flesh by Jets quarterback, Sam Darnold. And Don, I want to tell you what kind of friend you have in Peter. So during the break, you walk your meeting fans and Peter shows Sam the picture of your unrequited high five. Do you have any questions? We ask you a lot of questions every week. You want to ask Don anything about what happened there? Yeah, what are you? What were you thinking? I wanted to give her a high five. She's a nice woman, but she didn't see. So you got away from the eye contact. Yeah, I couldn't agree more. And how do you not bail on it? You got to know when to throw the ball away. Am I right, Sam? Thanks for saying it to you. Yeah. Well, I'm learning. It's hot. You got to get it. You just kept going to the face. Well, I was hoping that I'd get it. Unless you would see it. I contacted already sale. So now what do I, what I got to adjust? You should have just mushed her face. Sometimes it's just.  It's okay. I bounce back with Alex Lee. Okay, great. So I'm, you know, completing 50% of my pass. It's not NFL worthy, but you know, some good, some backup quarterbacks with less. It made more. Yeah, absolutely. It's a good point. I've read something in the paper today after the specific amount of games that you've played, paired up against what Joe Namath did. I don't know if you saw this. Your numbers are better than Joe Namath's touchdowns, interceptions, completion percentage. I mean, does the specter of Joe Namath hang over this whole team, especially a quarterback? No, I mean, it's a little bit, football is a little bit different nowadays too. I mean, we're throwing the ball a little bit more, but Joe's Joe, man.  Just after Jets. I mean, we haven't won a Super Bowl since he was here and he's just kind of that.  So he's just an awesome guy. Whenever he comes around, he comes around every now and then too. He's a great dude to be around. Do you have a substantive conversation with him ever? Absolutely. And does he talk quarterbacking? Does he talk broader scope? Yeah, I mean, he talks everything. He talks, he talks everything from when he was on the streets, you know, Broadway Joe, and then when he was out on the field. And you guys text? It's no, no, we don't just talk in person. We just talk in person. Yeah.  And he gives us two cents. I mean, he's he's also funny.  Like all the coverages and pressures people are bringing are so much different. But yeah, he has a fun time out there. And we're always so lucky to have him. It's statistically different. But I would think the position is the same as far as being a leader of men communicating in the huddle. I mean, I would think that probably in the 100 years of the NFL, that probably hasn't changed at all, right? No, no, it hasn't. I think just the way that he was with his teammates. And the thing is, too, is he won't he won't talk about it very much. You got to go to other people to hear about how great he was with his teammates, which is, in my opinion, the side of someone who was really great was a really great leader. So, you know, he was he was amazing with his teammates.  Now, Sam, this has not been the season that anybody envisioned for the Jets. I'm certainly not you, I'm sure.  They're hungry. I mean, what does that mean to you to see that kind of support despite a season that you would probably rather have be better? No doubt.   I mean, but at the same time, I know it doesn't look like it, but we're getting better every single day. And, you know, for you guys to be able to come out there on Sundays and support us and be here and supporting the great Michael K show and just the whole Jets community has been nothing but amazing for us throughout since I've been here at least, you know, this is these last couple of years. So can you can you envision what it would be like if you guys did win and win big and win consistently? Have you envisioned that? Yeah, it would be amazing. There'd be nothing like it.  It's coming one day. Now you say that improvements are happening and it's hard to see them because of the record. So can you tell us in layman's terms, what's getting better? What do you feel good about? I think for me personally, I'm just I'm getting the offense, you know, every single day, day in and day out. I feel like I'm getting so much better at understanding the offense and, you know, what just what's going on. I mean, there's so much that goes into it. And just seeing the coverages and different pressures, how teams are bringing them. I mean, there's so much that goes into playing quarterback. And I feel like I'm just understanding it every single day better and better. You know, that's that's really it. Is New York the metropolitan area? What you envisioned it was going to be when you were drafted here? It's a little bit more. You know, I thought it'd be similar to LA, but it's a little bit more than LA for sure. And I'm getting used to it every single day's new experience, especially in the city, if I ever make it out there. So yeah, it's a lot, but it's a good thing too. All right. This is a very hard question. It's been a tumultuous week. Do you really believe that Levy on Bell rolled a 251? Honestly, that's an incredible bowling score. It is. It's great. And yeah, I don't know if I believe it. Has he ever indicated that he's that good a bowler previously? No. I mean, he's never said anything about bowling.  Yeah. I don't know. Bumpers. Maybe. What's your what are your you play basketball, right? Yeah. And what else? What are your other what other sports are you good at? I played baseball. I played some beach volleyball golfer. No, not a huge golfer. I'm trying to get into it. You'll get there. Don't bother. It's not worth it. It's your legion. You're above it. Thank you. You're not very good. I hate it. He has made the statement. If they played the Masters in his backyard, he would call the authorities. He wouldn't even look. Wow. I mean, I will watch it. That's him. I got to tell you this. And since you're here, we can tell you this to your face. We've had weekly guests before and the only one that you even compare to is Eli Matting. No matter what the game the previous time, Eli Matting would call in when he was supposed to call in other people at bad phones. They just didn't feel great about being on. I even told our people, listen, he just played last night. If he doesn't want to come here, we shouldn't have him come. And they said, oh, he'll come. You've been nothing but class throughout a very difficult season. And we thank you for that. We're so happy. I'm proud that you're part of the show. Well, thank you guys. Yeah, for not asking me the tough question. Merry Christmas, Sam. Merry Christmas, guys. Happy holidays. All right, that's Sam Darnold, everybody.


There's a good book called, uh, Where Good Ideas Come From. There's a mathematical equation, cities, you're higher likelihood to make money. Primarily because you rub shoulders with other creative people. But, as Dr. Buss says, cities attract psychopaths. So your happiness, you get a more exploitation big cities. Um, so you make more money, but if you want to be happy, you get the f*** out of a city.


Everybody Matt here for late in sports cards ripping two boxes for Justin s. We have one box of 2022 Panini select football draft picks and one box of 2022 Panini Chronicles baseball All right, here we go Justin. Good luck start off with the select draft. Yeah, me too, Matt Wilson Derek Stingley, Jr. John Mechie That is Kobe Bryant Otto Johan Dotson Joe Burrow that was a rookie silver on the Dotson. Sorry Joe Burrow Silver and Brett Farve silver Garrett Wilson Garrett Wilson Breece Hall that is rookie Field level Nick Bosa field level Andrew Booth and Kavon Tibit Oh youth explosion rookie Otto nice Tibit Oh Arnold Evaketti silver Travis Kelsey and Ray Lewis field level silver Kenneth Walker, there's Bryce young Sensations Ezekiel Elliott and Kavon Tibit Oh rookie field level Desmond Ritter great Lance and 400 points Rod Woodson Romeo Dobbs, there's Andrew Booth rookie silver That one has a I don't even think that's a scuff. I think that yeah, that's a crease That booth is creased. I can send you an empty box and wrapper on that Justin That's bright our breeze hall and Matt Corral. That is silver sensations Kelsey and Ricky Williams you go Chronicles. Come on Justin. Let's see something big here There's just two other boxes in queue right now. So grab up your boxes if you want something ripped actually for now A couple Star Wars chrome black. That's gonna be awesome. I have not had a chance to rip that yet. Yep. I see that That's awesome. Good luck with them. Shane Boz There's Joe Ryan clearly Donner's rated rookie Otto Lopez and this is Essentials rookie Otto Lucius Fox Freddy Freeman obsidian Feltner, there's Ryan Valade rookie to 100 Robson Brian Dela Cruz and Rookie Jersey that is Julio Rodriguez There you go, nice J rod rookie Jersey Byron Buxton and Bryce Harper obsidian Bobby Witt Jr. Chronicles rookie word Cabrera rookie Phoenix Silver Mike trout and rookie obsidian say a Suzuki there you go Justin the one Soto recon Skill Ronald Acunha Jr. 250 clearly Donner's Trout there Spencer Torpleson and a redemption That is prospect Jersey autographs Andrew Painter.  These are so cool Nice one Justin last pack Zena Nicoladolo rookie Spencer Strider Titan rookie Matt Olson and on the back Mookie bet obsidian All right, that'll do it for your break. Thank you Justin appreciate it. We'll get these shipped right out to you