The Definition Pages are always evolving here on Begin To Invest. Slowly but surely we should end up with a very large database of terminology, equations and useful tools for investors. Here is the latest addition:
In an attempt to get more opinions on this site other than my own (I’m sure you have been dying to hear that!) I have added quotes from some authors, books and guides that have helped me along the way.
Here is an example of the bottom of the Inventory definition page:
I really like the addition of the quotes. Some offer very good advice for investors to consider, they also provide an opportunity to come across valuable books and authors to help you along in the journey.
Who takes the time delving into the inventories reported on a company balance sheet. It is something that i would guess most investors just glaze over when evaluating a financial statement. But here is Ben Graham offering some really great advice on what to look out for, and how to use inventory reported on a company’s balance sheet to help compare it with other companies in the industry and identify a possible competitive advantage.
Take a look for yourself! Another term that has some great advice is the Working Capital page, one of Buffett’s favorite valuation metrics.