Aminex Share Discussion Threads

[bunbooster2] 16/6/2016 10:21

I'm sorry but if you are paying out cash then your asset (the money) is going down so you would credit the balance sheet. Debit an asset or expense when it goes up, credit when it goes down.

Lots of misunderstanding here!

[dunderheed] 16/6/2016 10:17

FFS no it wouldn't - you Debit Asset Credit bank account!!
You can split your assets between Intan and Tan, of course.
LOL

[vike1] 16/6/2016 09:44

Not to get mixed up in accounting terminology, but the debit would be the cash paid out for the asset. The credit would be the asset (in this case, goodwill) coming onto the balance sheet.

In general, best to scrutinise companies with a high %age of assets held as goodwill as their not 'real' and are often a sign of acquisition-led growth.

Off-topic, apologies, I'll stop now.

[dunderheed] 16/6/2016 09:31

whilst we are all coaching here I think you mean debited to balance sheet?!

[vike1] 16/6/2016 09:12

By intangible, it means the asset is not physical, but a value must be credited somewhere on the Balance Sheet. E.g. when a company buys another for a price higher than its book value, the difference is accounted for as goodwill. This might be done when an acquisition includes management expertise, some brands, etc. This can be then written down over time, but how it is done depends on the company's internal accounting policies (usually found in the financial statement notes).

[bunbooster2] 16/6/2016 09:00

How could an asset be intangible? Surely that would have no value.

[vike1] 16/6/2016 08:48

Dep and amortisation are similar, but in simple terms the former relates to tangible assets and the latter to intangible assets (typically goodwill).

Write downs and impairments can have difference accounting treatments as well, depending on whether the company reports in IFRS or US GAAP.

[gerryjames] 16/6/2016 07:54

Yes someone ticked your explaining the difference. Meanwhile they've been chipping away at the share price while waiting on financial clarification. Which should be soon.

[bigsi2] 16/6/2016 07:08

Edgar- lol ta. Don't mind really- had a chuckle- & some posters really are that stupid

[bunbooster2] 16/6/2016 00:38

Ok, then what about depreciation and amortisation. The number of times I have had to explain to less educated people that these are the same things would make you wince!

[edgar222] 15/6/2016 23:56

Big Sis

Don't know how new you are here but lets just say that Bunbooster has a very distinct sense of humour. I would not take it too seriously.

FWIW IMHO !

[skinwalker] 15/6/2016 22:54

Turnover and Profit are definitely not the same thing in my business Bun!
Does that mean its not well run?

[vike1] 15/6/2016 22:02

Op Profit = EBIT

[bunbooster2] 15/6/2016 21:53

Ok then what's operating profit?

[vike1] 15/6/2016 19:47

The $1m per month is free cash flow from operations. Ie, net of operating costs but not G&A expenses or other capital investments.

[bigsi2] 15/6/2016 17:34

Sincerely hope for your sake your just pretending to be a moron ;)

[bigsi2] 15/6/2016 17:23

Turnover is the net sales generated by a business, while profit is the residual earnings of a business after all expenses have been charged against net sales. Thus, turnover and profit are essentially the beginning and ending points of the income statement - the top-line revenues and the bottom-line results.

[bunbooster2] 15/6/2016 17:05

BigSi - Turnover and profit are just words for the same thing (how could they be anything else? Explain that one, oh dear you can't.)

It's a common misunderstanding that you might hear from laymen but it's not the way industry professionals use these terms.

[bigsi2] 15/6/2016 16:14

Majority of Broker notes & ratings are about as trustworthy & dependable as NRitson himself ie self serving & duplicitous or just downright incompetent & lazy Read their report from 2011 with share price at 1.08p

[stinkypeet] 15/6/2016 16:02

Well just to make 100% sure wht don't you take the time to read up on the Shore Broker report and then you will understand where and what the figure actually refers to...

[bigsi2] 15/6/2016 15:57

Also- profit & net profit two very different things even though they sound very similar don't they- Read up

[bigsi2] 15/6/2016 15:53

Bunbooster - that ranks as one of the most ignorant, idiotic & downright stupid comments I have ever read on a BB-and that's saying something Turnover/revenue & profit are very different things & the ratios vary greatly from company to company no matter how well or badly run. I suggest you googling the terms and read up before making such comments again & coming across as a complete tool

[stinkypeet] 15/6/2016 15:52

If you read it you will find the answer.

"Furthermore there will only be a profit of $9m in the first two years...".

It says "profit" that means "profit". If it had said "income" that would have meant "income".

Yes there is a big diffrence in "profit" and "income" - one is spelled P.R
.O.F.I.T. the other is spelled I.N.C.O.M.E.

I am very aware of the difference that is why I used the word "Profit" where I meant "Profit" and not the word "income" - which means "income".

I hope that is clear now? Or would you like me to explain the use and meaning of some more big words?

[bunbooster2] 15/6/2016 15:31

turnover and profit are the same in any well run business

[ngms27] 15/6/2016 13:31

There is a huuuuuuuuuuuuuuge difference between turnover and profit. There is no way on the planet that AEX will generate $9m per annum to spend on drilling and paying off loans. Just look at General and Admin expenses in the accounts.

Then look at how production falls off a cliff within 2 years, never mind the acreage claw back they will be subject to.

The Argo loan repayment must be North of $11m now awell so there goes the first years turnover down the swanny.

Without a farmout equity is all but worthless from here.