Saturday, October 10, 2009
Accounting Success
Dear many readers of my blog, as you may have remembered I have been going to school for accounting for the last 3 years or so. Sure, it was part time and not the hardest thing in the world. However, it was pretty hard for me and not fun. In fact, it was terribly boring! And taxes? Horrible! Who wants to have that in their brain! Anyway, I wanted to tell you all that it all worked out. I finished school and I am an accountant now. So, if any of you were wondering if you should go to school to become an accountant the answer is: yes.
In other news, it is snowing here and it is only October 10th. What do you think of that!!! (Kevin says it sucks). I say, why not? Maybe the gods are playing a powdery white game up in heaven. Well...the gods are oft want to misbehave.
There is also a great interview on Bill Moyers worth watching. You want a link? http://www.pbs.org/moyers/journal/10092009/watch.html
Well, it is Saturday and it is cold in the house again. I have no plans, and I went out to dinner last night so maybe we wont go tonight. What should we do? Tomorrow I want to go hiking but today maybe we will snuggle in and enjoy the fruits of our labor (AKA I don't know, eat dinner?).
Love you all,
Best
K
In other news, it is snowing here and it is only October 10th. What do you think of that!!! (Kevin says it sucks). I say, why not? Maybe the gods are playing a powdery white game up in heaven. Well...the gods are oft want to misbehave.
There is also a great interview on Bill Moyers worth watching. You want a link? http://www.pbs.org/moyers/journal/10092009/watch.html
Well, it is Saturday and it is cold in the house again. I have no plans, and I went out to dinner last night so maybe we wont go tonight. What should we do? Tomorrow I want to go hiking but today maybe we will snuggle in and enjoy the fruits of our labor (AKA I don't know, eat dinner?).
Love you all,
Best
K
Sunday, September 20, 2009
Did anything worth writing about happen to us today?
ok, here is a good blog entry:
today we biked to dinner and there was very nice sunlight. Also, you know that sign for the THREE BEE'Z RESTAURANT when you exit the Greenway at Nicollet? Why the heck is it spelled "'Z" ? No good reason, I think.
Does anyone remember when this was actually a restaurant? Help me out, No Surrenderers!
p.s.
What does it mean if you put a sign in your businesses window that says "no cards for a time"?
thanks and goodnight.
today we biked to dinner and there was very nice sunlight. Also, you know that sign for the THREE BEE'Z RESTAURANT when you exit the Greenway at Nicollet? Why the heck is it spelled "'Z" ? No good reason, I think.
Does anyone remember when this was actually a restaurant? Help me out, No Surrenderers!
p.s.
What does it mean if you put a sign in your businesses window that says "no cards for a time"?
thanks and goodnight.
Sunday, June 7, 2009
blip blop
I ordered some weird grandma glasses, the really huge kind. Huge and round made of clear pink and blue plastic. They will come in a week, I think I might regret it. I got some regular glasses too, brown ones. I might wear those more. But, I might really dig the big glasses! I am excited.
What if you were able to recall emotions and feel them again? Like you are walking down the street and have a feeling, like hey this is just how I felt that one day 5 years ago? That is how I am feeling today, that I can recall how I felt at different points. What does it mean? I can't control it. I don't know if that makes sense.
I have spent too much time on the internet today looking at hairstyles of Scandinavian people. I just want to find something to do with my hair. Why does one care so much about such things? Ohhhh, such is my life.
What if you were able to recall emotions and feel them again? Like you are walking down the street and have a feeling, like hey this is just how I felt that one day 5 years ago? That is how I am feeling today, that I can recall how I felt at different points. What does it mean? I can't control it. I don't know if that makes sense.
I have spent too much time on the internet today looking at hairstyles of Scandinavian people. I just want to find something to do with my hair. Why does one care so much about such things? Ohhhh, such is my life.
Friday, March 6, 2009
The Hamada Equation
A big deal for companies is to decide whether to finance their company with debt (loans) or equity (stock). Too much debt can cause risk to the shareholders, but it offers tax advantages. Its complicated stuff, but there are equations to help.
Robert Hamada, in 1969 wrote a paper called "Portfolio Analysis, Market Equilibrium, and Corporation Finance" in which he came up with the Hamada Equation! This is exciting stuff.
First, you should know what a "Beta" is. According to "Wall Street Words" a Beta is:
A mathematical measure of the sensitivity of rates of return on a portfolio or a given stock compared with rates of return on the market as a whole. A high beta (greater than 1.0) indicates moderate or high price volatility. A beta of 1.5 forecasts a 1.5% change in the return on an asset for every 1% change in the return on the market. High-beta stocks are best to own in a strong bull market but are worst to own in a bear market.
Now, the Hamada equation formulated a way to show that the beta increases with financial leverage (debt financing rather than equity financing).
It is:
Bl=Bu [1+(1-t)(d/e)
where:
Bl=current beta
Bu=unleveraged beta (what would the beta be without the debt)
D/E debt to equity ratio
You can insert the unlevered beta into other equations to find out what the betas would be for different debt levels. You can use this to help you decide if you should use debt or equity to finance your business.
http://upload.wikimedia.org/wikipedia/commons/thumb/b/b2/Beta_uc_lc.svg/800px-Beta_uc_lc.svg.png
Robert Hamada, in 1969 wrote a paper called "Portfolio Analysis, Market Equilibrium, and Corporation Finance" in which he came up with the Hamada Equation! This is exciting stuff.
First, you should know what a "Beta" is. According to "Wall Street Words" a Beta is:
A mathematical measure of the sensitivity of rates of return on a portfolio or a given stock compared with rates of return on the market as a whole. A high beta (greater than 1.0) indicates moderate or high price volatility. A beta of 1.5 forecasts a 1.5% change in the return on an asset for every 1% change in the return on the market. High-beta stocks are best to own in a strong bull market but are worst to own in a bear market.
Now, the Hamada equation formulated a way to show that the beta increases with financial leverage (debt financing rather than equity financing).
It is:
Bl=Bu [1+(1-t)(d/e)
where:
Bl=current beta
Bu=unleveraged beta (what would the beta be without the debt)
D/E debt to equity ratio
You can insert the unlevered beta into other equations to find out what the betas would be for different debt levels. You can use this to help you decide if you should use debt or equity to finance your business.
http://upload.wikimedia.org/wikipedia/commons/thumb/b/b2/Beta_uc_lc.svg/800px-Beta_uc_lc.svg.png
Monday, February 16, 2009
Financial Woes!
Q. What if we have a great depression?
A. We may have to raise rats for meat, in our DRYERS!
I don't know how to skin a rat, what if I make a deal with you: you skin the rats and I let you eat one that I raised
(P.S. this was a terrible nightmare that I had. I am glad to know that if it comes down to it, I will eat a rat though, and not die. Which is not to be take for granted).
A. We may have to raise rats for meat, in our DRYERS!
I don't know how to skin a rat, what if I make a deal with you: you skin the rats and I let you eat one that I raised
(P.S. this was a terrible nightmare that I had. I am glad to know that if it comes down to it, I will eat a rat though, and not die. Which is not to be take for granted).
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