TLDR? The income statement tells you about the activities over a period of the business. It looks at what the company has brought in over a year. And, what it has spent to bring in said money. In this article, we look at how we can understand the income statement. Lastly, we try to understand when management is trying to pull a fast one.

Hey everyone, I hope you enjoyed our post last week on how to invest your first 10k. I hope that post triggered some thinking among those who are thinking of beginning their investment journey. When we take care of what we have to, we can invest without worry or care that we might hit stormy weather ahead; and we can be in sync with how our portfolio moves. That’s the beauty of it.

Today, I would like to touch on an important topic that forms the fundamentals of value investing.