Michael "Shoe" Xu

Not only can we calculate turnover ratio for total assets, but we also can do the same for other asset items such as AR, inventory, etc.

Profitability is the name of the game. It is why entrepreneurs start companies. Here let's dive deep into concepts such as net profit ratio, total asset turnover, and return on asset, all part of profitability analysis.

Common size analysis is using the percentage of each item to understand the cost/expense structure, capital sources, and asset allocations, etc. Aka structure analysis.

How do Shaan and Sam think about Growth vs. EBITDA vs. Cash Flow, and how do they adjust strategies in their business? This one talks about their discussions from MFM pod "3 things you need to outperform 99% of entrepreneurs".

Which financial statement is most important? To a bank, an investor, and a corporate buyer, the answer could be different.

Why do we need all three financial statements, i.e. balance sheet, income statement, and cash flow statement?

Now that we have learned the form and function of Cash Flow Statement, how do we create a Cash Flow Statement? We will use the same example when discussing the balance sheet and income statement to illustrate.

Net cash flow can be calculated from balance sheet alone. Then why do we need a separate financial statement - cash flow statement? Read on.

What is cash flow statement? Similar to how you bookkeep your own expenses for the house, you can do the same for your business.

After paying all the expenses and taxes, we've managed to get some profit. How does profit distribution affect balance sheet and income statement?

Should research and development expenses be treated as expenses or intangible assets? This one explains the concept in depth.

Once you make a sales, you move some of your inventory (balance sheet) into cost of goods sold (income statement). But how does a sale affect these financial statements exactly? Read more.