[MUSIC] Now, we're getting to the end of the course. I'm sad we're almost about to say goodbye to each other, but so far in those four weeks. We've been looking at trying to understand better the financial statement, the balance sheet, a P&L. How the numbers actually speak to us and how we can understand the strategy of a company by looking at those numbers. The numbers for the sake of the numbers are worth nothing in a way, right? But it's good that they speak to us. If we're unable to understand them, we can make better decisions and we can build business that are more robust, right? So now, what I want to do is play a little game with you. Which consists on showing you some blind financial statements. So this is what we're going to do. Imagine that you are now an expert. I say imagine because you are almost an expert. And, pay attention. I'm going to show you four P&Ls and balance sheets from these different industries. One is going to be a retailer. Another one is going to be an Internet company, a pure Internet company like Instagram or whatever. Another one is going to be a pharmaceutical company. And another one is going to be a consumer electronics. A company that does electronics, like i don't know Samsung or. But the thing is, I'm going to show them to you in that disorder way. So, the number one is not the retailer, the number two is not the Internet company and the number three is not the pharmaceutical and the number four is not the consumer electronics. So they are disorder. So, now you have to guess which one corresponds to which industry. Are you ready for this or not? Let's go for it. Now, here you have the four financial statements. Don't freak out, it's okay. In order to get the most out of this exercise. You probably have looked at it before from the website, or if you haven't you can click pause this video for a second and get me frozen just one minute or two minutes, or ten minutes whatever you need. But make some effort to understand and classify which of the four companies is the pharmaceutical, the retailer, the Internet company, the consumer electronics. Now as you can see what I did, is simplify this financial statements of four companies that are well known. And then at the top, what I've done is put three lines to summarize the PNO. A very summary which is sales, gross managing and gross. With that you can infer what is cost, through the gross margin you can infer what is [INAUDIBLE]. The central part of this screen has the assets side and the liabilities side of the balance sheet. After that you have the operation of ratios. Dates of receivable, dates of inventory, and dates of payable. And then you have any form working capital, both in absolute terms and as a percentage of sales. And at the bottom, you have these, the composition of the that is called the composition. Now take your time. As I said, click pause for a second if you want, because I don't want to give out to you the solution straight away. I want you to think about it and this is very important. If you can actually put into practice all the concepts you have learned so far. And once you're ready and you stop clicking the pause, or if you're ready, we can continue from now on. So which company is each of them? Let's see, you have may numbers there, right? And after you have done your exercise, you have thought about it, you would agree with me? In just to start looking for points that give us some ideas. For example, did you realize that there is only one company that has a huge amount in intangibles? Turns out the first company, the number one, has intangibles of 54. 54 is almost one third of all the assets of the company. One third is 54 billion US dollars in intangibles. No other company has such a big amount in intangibles. So which of the four industries do you think has more intangibles? A retailer, an Internet company, a pharmaceutical, or consumer electronics? [MUSIC]
