June 2017

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Can Amazon really justify a $1 trillion valuation?

Last week, Amazon’s stock price crossed the $1,000 threshold. In the process, its market capitalization nearly reached $500 billion. And of course, the next question was, when will Amazon become the world’s first trillion dollar company? Let’s look at Amazon’s financial performance, and see what might have to happen to make the company worth a
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Why are employees not technically assets?

Executives often claim that employees are a company’s most important asset. But employees aren’t assets, technically. Employees don’t appear on the balance sheet, where you’ll find cash, inventory, property, equipment, etc. If employees are such an important asset, why don’t they appear on the balance sheet? Here are three reasons: The company doesn’t own its
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