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Showing posts with the label future value

Just my thoughts #0596

There are ‘right’ and ‘wrong’ things in the world, but many situations exist where actions can be seen as either right or wrong depending on the circumstances and outcomes. Often, when choosing a job, talent and aptitude play a significant role. It is commonly believed that if you have a job that aligns with your talents and aptitudes, you are more likely to achieve success or happiness. However, if you choose a job that matches your talents and aptitude, is success guaranteed, or is it truly rewarding? Conversely, it’s also possible to attain a certain level of achievement through consistent practice and effort, even if your talent isn’t as strong as others and your aptitudes aren’t quite right. The dilemma of choosing between the two stems from the regrets that linger over time and the pursuit of success. Individuals worry about whether they can satisfy their desire for success. There is a path to finding joy when aptitude fuels motivation to learn and leads to results. Nevertheless,...

Just my thoughts #0370

The value and nature of stocks depend on how much money a company can potentially make for me in the future. In other words, it’s not the present value, but the future value that matters. It’s crucial to be able to provide profits consistently over time. In accounting, this concept is referred to as “going concern.” When you evaluate what you’re doing right now (job, business, investment, etc.) in terms of sustaining revenue generation, many conflicts and considerations diminish because your judgment becomes clearer. - Joseph’s “just my thoughts”

Just my thoughts #0300

The concept of “going concern” in accounting emphasizes that a business must persist into the future to retain its value. This principle signifies that present value already incorporates expectations of future value; thus, a business facing uncertainty about its future will inevitably diminish in present value. It highlights the interconnectedness of present and future values, suggesting that they cannot be regarded in isolation. All stocks traded on the stock market are priced based on their anticipated future value. In essence, we trade on a future that has yet to materialize. Consequently, determining how far into the future to evaluate is a critical factor in making investment decisions. Since individuals have varying skills and perspectives on forecasting the future, selecting an investment strategy must align with one’s attitude toward time. - Joseph’s “just my thoughts”