This week on learning investing/trading together, we will be learning how to read the financial statement, this is important as it allows us to judge whether we should invest in the company or not. (I know it sounds boring, but stick with me ok😄?)
I have written on reading some part of the financial statement, a year back here. As it does not cover the financial statements thoroughly, this post will be a good pre-read before we delve into the “deeper” stuff.
Some of this post material is from the book: How I become a profitable trader after losing $30,000(by Koh Ming Shao), you can either buy the book online or borrow the book from the library(remember my tip on borrowing books from the library?)
So let’s get straight to the point!
A typical company financial statement is made up of 3 component
Profit And Loss Statement Balance Sheet Cash Flow Statement I will be using Singpost