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However, the price tag of nearly $3,500 could greatly limit its commercial success. Apple trades under the stock ticker name AAPL and went public on December 12th, 1980, with a valuation of $22 per share, according to Apple’s investor site. MacRumors attracts a broad audience of both consumers and professionals interested in the latest technologies and products. We also boast an active community focused on purchasing decisions and technical aspects of the iPhone, iPad, Mac, and other Apple platforms. AAPL is up over 50% compared to its 52-week low of $89.47 in May 2016. If you’d like to trade in Apple stock, read our explainer
how to buy Apple shares.
In his downtime, he pursues photography, has an interest in magic tricks, and is bothered by his c… Texas Pacific Land Corporation (TPL) is one of the largest landowners in the state of Texas. It has two main business segments, Land and Resource Management and Water Services and Operations.
Before we look at the highest stock prices, let’s touch on the difference between stock prices and market capitalization. While it’s tempting to equate a soaring stock price with a thriving business, the reality is not as straightforward. A company may simply not have a lot https://g-markets.net/ of shares outstanding, meaning the overall value of the company isn’t as high as you might think. Apple’s market cap is high because its stock price is high. And with approximately 15.5 billion shares outstanding, a high Apple share price equates to a massive market cap.
Market capitalization, which is calculated by multiplying the stock price by the total number of outstanding shares, provides a better measure of a company’s total value in the eyes of investors. Therefore, as you see the stock prices below, keep in mind that the value of the entity is not driven just by its stock price but double top reversal by the number of shares it has also issued. “Market cap” — short for “market capitalization” — is the total value of a public company’s outstanding shares, which are those owned by stockholders, not by the company itself. Outstanding shares can be owned by employees and board members — just not the actual corporation.
The release of an innovative, revenue-driving product or service is one of the few ways a company can influence its stock’s valuation. Apple’s financial performance, including the ascendance of its share price, relies heavily on product sales. However its product releases initially haven’t always pushed share price higher.
“The FTSE 100 is a dinosaur, full of rather lumbering old-world stocks with precious little growth to offer,” said Neil Wilson, chief market analyst for Markets.com. He added that it is also “a very good proxy for the global economy, which we know is on its knees”. The iPhone-maker has seen its share price more than double since March, when panic about the coronavirus pandemic swept the world’s stock markets. Investors have been snapping up US tech stocks as demand for tech goods has surged amid the coronavirus pandemic. Apple’s recent financial performance doesn’t appear to justify such a steep valuation.
Apple created the global tablet market when it announced in January 2010 the upcoming release of the iPad. The price action may have been muted by early sales that missed Wall Street estimates. Though it didn’t have an immediate impact on Apple stock, the stock rose to $43 a share in just three months. Released on Oct. 23, 2001, the first iPod held up to 1,000 songs and had a battery life of 10 hours. The following day, the stock moved up slightly, from $18.14 to $18.95, and closed at $20.00 per share on Nov. 19, 2001.
It has almost doubled since the collapse in share prices in the immediate aftermath of the coronavirus outbreak. By contrast, market-watchers said London-listed companies, which include lockdown-hit oil companies and banks, have performed sluggishly compared to the runaway share prices of big US-listed tech firms. No company in history has ever had a market cap of $3 trillion or higher at the end of a trading day. Apple briefly topped $3 trillion in January 2022 during intraday trading. However, its market cap fell below the level by the market close. The company has proven over a long period that it can stay at the forefront of innovation and generate the earnings growth sought after by stock investors.
“For investors looking to jump on the Apple bandwagon now, where were you in March? If you were too skittish to get in back in March but are gung-ho now, what are you going to do if the stock pulls back amid an inevitable market correction? ” said Greg McBride, Bankrate.com’s chief financial analyst. This means that Apple’s market capitalisation is now up to a staggering $2.334 billion, which is by far the highest value that any company has achieved. Apple’s stock reached an all-time, split-adjusted high of $182.94 in January of 2022.
However, owning more company shares at a lower price could offer more flexibility when selling a portion of your holdings without having to sell an entire share. But with many brokerages now offering fractional shares, this has become less important. The price of each share in a company is determined by the supply and demand for that company’s stock in the market. The number of shares you own isn’t as important as the total value of your investment. Buying 10 shares of a lower-priced stock versus one share of a higher-priced stock doesn’t necessarily make a difference in the overall investment value. The company closed at an all-time high of $2,715.06 on Nov. 7, 2022, worth about $2,984 in February 2024, adjusted for inflation.
Booking Holdings (BKNG) owns the travel reservation sites Booking.com and Priceline, two of the biggest players in the online travel industry. Additionally, it also owns OpenTable, the restaurant reservation company. The company hit an all-time high close of $3,844.43 on Feb. 8, 2024.
This recent weakness is a gift from that perspective as well. In a similar and more recent vein, SellCell recently reported survey results indicating Apple’s iPhone brand loyalty currently stands at a record-high 92%. The brewing regulatory threat to Apple is real; CEO Tim Cook reportedly even called House Speaker Nancy Pelosi to stave off the impending legislation. Intellectually honest investors, of course, had to know this day of reckoning was coming sooner or later. Its big gains logged in 2020 of course only made Apple stock more vulnerable to the chip shortage as well as the “big tech” antitrust crackdown continuing to gel this year. Congress is considering six different pieces of legislation that could crimp Apple’s grip on consumers, if not force an outright restructuring of the company.
Stimulus from central banks to support struggling economies – including quantitative easing and historic low interest rates – have buoyed the value of many companies and assets. With the exception of Ocado, “there is no tech to speak of, which is where the real money has been made this year,” he added. Of the 38 analysts surveyed by Refinitiv in June, 11 rated the stock as a “strong buy” with another 21 recommending the stock as a “buy.” Investors certainly have reason to be excited about Apple’s achievement. If today’s gain holds up, the stock will have skyrocketed more than 48% in the first half of 2023.
On the other hand, if they had a balance of liquid assets, such as a savings account and marketable securities, they could handle short-term needs more effectively. On the balance sheet, assets become less liquid by their hierarchy. As such, the long-term assets portion of the balance sheet includes non-liquid assets. These assets are expected for cash conversion in one year or more. In financial accounting, the balance sheet breaks assets down by current and long-term with a hierarchical method in accordance to liquidity.
Markets for real estate are usually far less liquid than stock markets. Companies use balance sheets to record assets, liabilities, and shareholders’ equity, and to understand financial position at a specific point in time. Assets are listed in this report according to how liquid they are.
Current assets include your bank balances, the accounts receivable (the revenue you are still owed), and your liquid assets (available cash). Having liquid assets is crucial for investors and traders as it allows them to quickly access their funds when needed. High liquidity means that there is a large number of buyers and sellers in the market, making it easier to enter or exit a position without significantly affecting the asset’s price. Liquid assets are crucial for short-term financial planning and emergency funds, while illiquid assets are typically used for long-term investment strategies and wealth building. Cash equivalents are investments that can readily be converted into cash.
In other words, there can be no restrictions on converting any of the securities listed as cash and cash equivalents. These liquid stocks are usually identifiable by their daily volume, which can be in the millions or even hundreds of millions of shares. On the other hand, low-volume stocks may be harder to buy or sell, as there may be fewer market participants and therefore less liquidity. The stock market, on the other hand, is characterized by higher market liquidity. Business owners are constantly trying to strike a balance between having financial security and avoiding too much idle cash.
If that person has no cash but a rare book collection that has been appraised at $1,000, they are unlikely to find someone willing to trade the refrigerator for their collection. Instead, they will have to sell the collection and use the cash to purchase the refrigerator. Thomas J Catalano is a CFP and Registered Investment Adviser with the state of South Carolina, where he launched his own financial advisory firm in 2018. Thomas’ experience gives him expertise in a variety of areas including investments, retirement, insurance, and financial planning. Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader.
It also tends to result in lower transaction costs, as there is more competition among buyers and sellers. Quick access to cash gives you the ability to pay bills and debts if your stream of cash or income is disrupted. Liquid assets are important to have in an emergency fund so that money can be accessed when needed.
Liquid Assets: Assets easily converted to cash such as savings and checking accounts, stocks, bonds, certificates of deposit, retirement accounts, and money market accounts.
As often in the finance world, there are several ways to measure liquidity! Wealthspire Advisors LLC and its subsidiaries are separately registered investment advisers and subsidiary companies of NFP, an Aon company. Review the background of Brex Treasury or its investment professionals on FINRA’s BrokerCheck website. The use of Brex’s platform is subject to eligibility requirements and terms of service, learn more at Brex.com/legal.
A demand deposit is a type of account from which funds may be withdrawn at any time without having to notify the institution. Examples of demand deposit accounts include checking accounts and savings accounts. All demand account balances as of the date of the financial statements are included in cash totals. While liquidity equips businesses for spending, having too much can be a sign that a company is not be investing in growth as efficiently as it could. An excess of cash or other liquid assets may indicate a lack of long term planning or efficiency in allocating funds. Effective liquidity management is a balancing act between multiple different cash flow and spend-related factors.
This is dependent an asset which can be converted into cash immediately on specific payment terms and the current operating cycle, but is usually 30 to 90 days. Businesses may also hold various other short-term investments that are classified as cash equivalents. This includes money market funds, other interest-bearing accounts and certificates of deposit. In order to be classed as liquid, these investments must reach maturity in less than one year. Non-liquid assets, also called illiquid assets, can’t be quickly converted to cash.
Cash and cash equivalents are the most liquid current assets on a company’s balance sheet. Companies often hold cash and cash equivalents to pay short-term debt and hold capital in secure places for future use. Financial institutions play a critical role in managing and providing liquidity. They offer products like money market funds, savings accounts, and checking accounts that help individuals and businesses maintain liquidity. These institutions also facilitate the trade of marketable securities, making it easier to convert assets into cash quickly.
Assets are called “liquid” when they can easily and quickly be converted into cash (liquidated). Liquid assets can be readily bought, sold or exchanged in the economy with minimal price differences, providing immediate access to funds without sacrificing purchasing power.
It can neither have too much cash in hand nor be left penniless and that takes planning. A sweep account can get you the most of your money and be a source of liquid assets and current assets. If you have money sitting in your business account unproductively, sweep accounts are the best to receive interest on that. Depending on the time duration at which the assets get sold and yield you money, they are rated on the liquidity ladder. Insurance amounts that get mature sometime in the near future are also considered liquid assets. Illiquid assets are recorded on the balance sheet at their estimated market value or purchase cost.
The Basics of Quick Assets
Cash and cash equivalents are the most liquid current asset items included in quick assets, while marketable securities and accounts receivable are also considered to be quick assets. Quick assets exclude inventories, because it may take more time for a company to convert them into cash.
Morgan Private Bank provides a variety of services and guidance to build, preserve, or transfer wealth. Santander looks to spoil its midmarket clients with old-school private banking based on the relationship manager while leaning on its commercial banking reach to nurture the core businesses. This approach has made it a leader in Portugal, but the private banking franchise has plenty of room to expand elsewhere.
You may be able to avoid fees by maintaining a minimum balance, or the fees may be nonnegotiable. Private banking, also known as “relationship management,” pairs banking clients with individuals or teams that handle all of their financial tasks within the bank. The bank maintained exceptionally high levels of liquidity during the year, with record cash flows and one of the highest Basel ratios in its peer group. This financial position let the institution increase its credit offerings when businesses needed them most. BTG Pactual’s lending portfolio grew by 68% through the year, primarily consisting of loans to highly profitable counterparties.
Compared globally, CMB does not even make it into the top 10, ranking 11th in GlobalData’s 2022 ranking of global private banks and wealth managers. Instead, the purpose is to highlight some of the key characteristics of the most exclusive private banks, their offerings, their requirements, and how private banks can vary. Private banks get more creative and flexible with lending arrangements. For example, many of the most exclusive private banks require formal recommendations from current clients, interviews, and may partake in informal pedigree scanning of potential applicants.
And they may inform you of changes to tax regulations or connect you to external legal advisors. The clients can skip the teller and call their private banker directly to get help or complete transactions. The private banker is already biggest private banks familiar with the client’s specific financial situation and is in an ideal position to make suggestions and recommendations. In the HNW sphere, the bank offers customized services for the entire family—not just the leader or patriarch.
The United States and Europe are home to most of the world’s largest private banking operations. Liechtenstein-based LGT, which celebrated its 100th anniversary in 2020, has turned a profit every year of its existence. Yet the steady performer, controlled by the ruling family of the principality, is anything but cautious.
Though you will need to meet certain criteria and have investable amounts that meet the bank’s requirements. But he’s not an entrepreneur, doesn’t own businesses, doesn’t have a family office, and doesn’t have complex needs. What Richard Branson considers to be the most exclusive private bank in the world might differ from a Chinese billionaire, an African prince, or your average millionaire. We’re referring to the “top private bank” lists and “private bank of year” awards.
And management has been remarkably steady in an industry addicted to churn as private bank CEO Shelley O’Connor completes her 10th year since she first became CEO. Against this background, private banks began to adopt an additional role as information source. Citi, Global Finance’s Best Private Bank https://1investing.in/ for Net Worth of $25 Million or More, bombarded customers with online seminars featuring structured investment experts one day and epidemiologists the next. Bank of Singapore, the private banking arm of OCBC, ranks as the fifth largest Asian private bank, and the second largest in Singapore.
Guidance on how to interpret this whirlwind of events grew more cacophonous as key world leaders scoffed at scientific consensus and media divided into partisan silos. The largest non-Chinese private bank in Asia, DBS comes in fourth on GlobalData’s ranking, though it shows signs of growing. Its AuM has grown by 2.3% in the past year going from $217bn to $222bn. Clients in the UHNW category are typically expected to have £30 million in assets with £10 million in liquid assets.
ICBC Private Banking (ICBC PB) intends “to deliver financial vitality to the real economy and serve the entrepreneur group and the real economy they represent,” according to Li Baoquan, general manager of the Private Banking Department of ICBC. The bank aims to build an entrepreneur-focused service ecosystem, to strengthen the real economy with comprehensive services, and to develop strength in charitable trust services to assist the succession of business-built wealth. “We take a high tech, smart-touch approach to working with our clients, rooted in the belief that technology can greatly enhance the human touch in wealth management,” says Joseph Poon, group head of DBS Private Bank in Singapore. Winner again for the Best Boutique Private Bank in the World, Fieldpoint Private stands out from the crowd.
A significant share of corporate customers are enterprises in the food, transport, agricultural, and construction industries. In 2003, the Western Union system recognized PrivatBank as the best bank in terms of customer service quality. The Bank also obtained the STP Excellence Award from Deutsche Bank, which confirmed the professionalism of PrivatBank in international settlements. PrivatBank was the first in Ukraine to connect Google Pay and Apple Pay payment services. The European Union and China both put ambitious climate-change targets at the heart of their post-Covid recovery strategies. Skeptics lost their global champion with Donald Trump’s reelection defeat in the US Markets also cooperated; stocks in “virtuous” industries like renewable energy and electric vehicles soared while oil and mining shares crashed.
From this pool of strategies, our portfolio construction teams select those strategies we believe fit our asset allocation goals and forward looking views in order to meet the portfolio’s investment objective. No representation or warranty should be made with regard to any computations, graphs, tables, diagrams or commentary in this material, which are provided for illustration/reference purposes only. The views, opinions, estimates and strategies expressed in this material constitute our judgment based on current market conditions and are subject to change without notice. JPM assumes no duty to update any information in this material in the event that such information changes. Views, opinions, estimates and strategies expressed herein may differ from those expressed by other areas of JPM, views expressed for other purposes or in other contexts, and this material should not be regarded as a research report.
We’ll discuss some of these more specialized products and services in the next section. But, the most exclusive private banks don’t just expect you to have investable assets above a certain threshold, they also want to know that you’ll be deploying those assets and using bank products to service them. And its affiliates (collectively “JPMCB”) offer investment products, which may include bank-managed accounts and custody, as part of its trust and fiduciary services.
In the first half of 2023, DBS saw a notable surge in its wealth management assets under management (AuM) to SGD320bn ($241bn), representing a 9% increase from last year that was driven by new money inflows of SGD12bn ($9bn) within the respective sector. Banque Privée Edmond de Rothschild acts as a bridge between the traditional family-run private bank and the modern multinational private bank. Family-owned and operated, the bank is synonymous with both financial markets acumen and multi-generational wealth thanks to its heritage.
“It’s getting harder and harder to switch big-ticket clients,” Mukerjee says. Recognizing the unique needs of UHNW clients, the Spanish-based bank recently introduced a team focused on offering a comprehensive suite of strategic investment banking solutions for family offices. Santander’s flagship Private Real Estate Advisory (SPREA) program helps UHNW clients identify promising investment opportunities and efficiently execute transactions.
Par value serves as a significant reference point for the pricing of financial instruments. In the context of bonds, par value is the amount that will be returned to investors upon maturity. The term “par” has Latin roots, originating from the word “par,” meaning equal. This equality extends to the realm of finance, where it signifies the equilibrium between a security’s face value and market price. This is because as interest rates increase, new bonds come to market paying higher coupon rates, making the older, lower-yielding bonds less attractive.
I would use “at par”, to at least use the term consistently with golf, for what it is worth. Our writing and editorial staff are a team of experts holding advanced financial designations and have written for most major financial media publications. Our work has been directly cited by organizations including Entrepreneur, Business Insider, Investopedia, Forbes, CNBC, and many others. At Finance Strategists, we partner with financial experts to ensure the accuracy of our financial content. This phenomenon is essential for investors to understand, as interest rate movements can significantly affect their investment portfolios.
“(The quality of) H/his cooking skill(s) is/are par with professional chefs. A financial professional will be in touch to help you shortly. Our mission is to empower readers with the most factual and reliable financial information possible to help them make informed decisions for their individual needs. This team of experts helps Finance Strategists maintain the highest level of accuracy and professionalism possible. Bonds are issued with a fixed par value—typically in denominations of $1,000 or $100—and a fixed interest rate. Traditionally, the term was printed on the face of physical securities, which gave rise to the concept of face value or par value.
These ratings, assigned by reputable agencies like Standard & Poor’s, Moody’s, and Fitch Ratings, carry significant weight in the financial markets. The OED, sense 2, proposes on a par – meaning ‘on an equal footing with’. Please include the research you’ve done, or consider if your question suits our English Language Learners site better. Questions that can be answered using commonly-available references are off-topic.
For example, if a bond’s yield is higher than market rates, then a bond will trade at a premium. Conversely, if a bond’s yield is below market rates, then it will trade at a discount to make it more attractive. A bond’s par value is its face value, the price that it was issued at. Over time, the bond’s price will change, due to changes in interest rates, credit ratings, and time to maturity.
Par value is static, unlike market value, which fluctuates with credit ratings, time to maturity, and interest rate fluctuations. When securities were issued in paper form, the par value was printed on the face of the security, hence the term “face value.” The impact of interest rates is particularly noteworthy, given its inverse relationship with bond prices. An increase in interest rates generally leads to bonds trading below par, while a decrease can result in bonds trading above par. They can be issued at a premium (price is higher than the par value) or at a discount (price is below the par value). The reason for a bond being issued at a price that is different than its par value has to do with current market interest rates.
Market value is influenced by various factors, including interest rates, inflation, political stability, and market demand. Par value, also known as face value or nominal value, is the value of a bond, share, or other financial instrument as stated by the issuer. For bonds, it is the amount paid to the bondholder at maturity, and for shares, it’s the minimum price at which a share can be issued.
Therefore, credit ratings play a fundamental role in determining the trading dynamics of bonds and guiding investment decisions. Investors closely consider credit ratings as they impact the price of bonds and whether they trade at, above, or below par. It may suggest a potential bargain if the investor believes the issuer’s creditworthiness will improve or if they predict a rise in interest rates. However, it does indicate that the bond carries a higher risk. The main factors that influence whether a security trades at, above, or below par include interest rates, the creditworthiness of the issuer, and the time left until the security matures. Apart from bonds and preferred stocks, other debt instruments such as debentures, notes payable, mortgages and bank loans also carry a par value.
Conversely, when interest rates fall, bonds usually trade above par. The role of credit ratings is crucial in whether securities trade at, above, or below par. Investors must consider these factors, along with the issuer’s creditworthiness and time to maturity, when determining an investment strategy. If a company issues a bond with a 5% coupon, but prevailing yields for similar bonds are 10%, investors will pay less than par for the bond to compensate for the difference in rates. The bond’s value at its maturity plus its yield up to that time must be at least 10% to attract a buyer. Due to the constant fluctuations of interest rates, bonds and other financial instruments almost never trade exactly at par.
A bond will not trade at par if current interest rates are above or below the bond’s coupon rate, which is the interest rate that it yields. Conversely, when market interest rates fall below the coupon rate, the bond’s price will generally rise above par, as it pays a higher interest rate than new bonds being issued. For investors, a bond trading above par could mean that its coupon rate is higher than current market interest rates. However, the bond is more expensive than the return at maturity. If the issuer’s credit rating decreases, the perceived risk increases, causing the bond to trade below par. Conversely, an improved credit rating can cause the bond to trade above par.
As interest rates rise, bond prices fall, causing them to trade below par. When interest rates decrease, bond prices increase, resulting in bonds trading above par. The interest on these debt instruments is usually a percentage of the par value. Like bonds and preferred stocks, these at par meaning in english instruments are said to be trading at par when their market price equals their face value. The bond’s market price can fluctuate based on interest rates, credit ratings, and other factors. However, a bond is said to be trading “at par” when its market price equals its face value.
When this happens, a bond’s price will either be above its par value (above par) or below its par value (below par). The yield for bonds and the dividend rate for preferred stocks have a material effect on whether new issues of these securities are issued at par, at a discount, or at a premium. The primary https://1investing.in/ reason is that the dividends paid to preferred shareholders are a percentage of the par value. When the market price of the preferred stock equals its par value, it is said to be trading at par. Bonds from issuers with higher credit ratings tend to trade at or above par, indicating lower risk.
Credit ratings serve as evaluations of an issuer’s creditworthiness, assessing their likelihood to repay debt. When interest rates rise, bond prices fall (below par), and when interest rates decrease, bond prices rise (above par). For equities, par value sets the minimum issuance price to maintain the capital structure of a company. Understanding the par value of financial instruments can assist investors in calculating their potential returns and evaluating their investment risks. If prevailing yields are lower, say 3%, an investor is willing to pay more than par for that 5% bond. The investor will receive the coupon but have to pay more for it due to the lower prevailing yields.
The financial concept of “At Par” signifies the situation where a security’s market price equals its face value. This fundamental principle plays a pivotal role in how various financial instruments, such as bonds, preferred stocks, and other debt securities, are traded in the market. The relationship between interest rates and the trading of bonds at par is inverse. When prevailing market interest rates rise above the bond’s coupon rate, the bond price will generally fall below par, since investors can buy new bonds that pay a higher interest rate. Prevailing interest rates heavily impact the prices of bonds and other debt securities.
After noting their gross income, taxpayers subtract certain income sources such as Social Security benefits and qualifying deductions such as student loan interest. Although the terms are sometimes used interchangeably, net income and AGI are two different things. Taxpayers then subtract standard or itemized deductions from their AGI to determine their taxable income.
The IRS sets the rules for allowing cash method accounting for income taxes. Ask your CPA firm to determine the right accounting method for your company. Cash flow is the net amount of cash and cash equivalents being transacted in and out of a company in a given period.
As stated above, the difference between taxable income and income tax is the individual’s NI, but this number is not noted on individual tax forms. Yes, even if a company has a large volume of sales, it can still end up losing money if the cost of goods or other expenses related to those sales (e.g., marketing) are too high. Other factors like taxes, interest expenses, depreciation and amortization, and one-time charges like a lawsuit can also take a company from a profit to a net loss. Because revenues and expenses are matched during a set time, a net loss is an example of the matching principle, which is an integral part of the accrual accounting method. Expenses related to income earned during a set time are included in (or “matched to”) that period regardless of when the expenses are paid. A net loss is when total expenses (including taxes, fees, interest, and depreciation) exceed the income or revenue produced for a given period of time.
Instead, it has lines to record gross income, adjusted gross income (AGI), and taxable income. For example, an individual has $60,000 in gross income and qualifies for $10,000 in deductions. That individual’s taxable income is $50,000 with an effective tax rate of 13.88% giving an income tax payment $6,939.50 and NI of $43,060.50. Net income (NI) is known as the “bottom line” as it appears as the last line on the income statement once all expenses, interest, and taxes have been subtracted from revenues.
Cash flow is reported on the cash flow statement, which shows where cash is being received and how cash is being spent. If a company has positive cash flow, it means the company’s liquid assets are increasing. Calculating net income and operating net income is easy if you have good bookkeeping. In that case, you likely already have a profit and loss statement or income statement that shows your net income. Your company’s income statement might even break out operating net income as a separate line item before adding other income and expenses to arrive at net income. Also called gross earnings or gross profits, gross income is your revenues minus your cost of goods sold (COGS), which are the direct expenses involved in producing your products or services.
But if the company sells a valuable piece of machinery, the gain from that sale will be included in the company’s net income. That gain might make it appear that the company is doing well, when in fact, they’re struggling to stay afloat. Operating net income takes the gain out of consideration, so users of the financial statements get a clearer picture of the company’s profitability and valuation. Also referred to as “net profit,” “net earnings,” or simply “profit,” a company’s net income measures the company’s profitability. Net income is the opposite of a net loss, which is when a business loses money. Next to revenue, net income is the most important number in accounting.
It’s very common for companies to overpay for acquisitions; in fact the statistics back up that M&A tends to happen at overvalued prices more often than not. In accounting terms, an acquisition is different than an expense. Those types of expenses tend to fall under Operating Expenses (“OpEx”), under Selling, General & Administrative (SG&A). It’s from Net Income, or “Earnings”, that you get Earnings Per Share, which is probably the most widely followed metric on Wall Street most of the time (unless talking about a growth company). Bring scale and efficiency to your business with fully-automated, end-to-end payables.
From the net income amount, cash transactions for the period are either added or subtracted. With Bench, you can see what your money is up to in easy-to-read reports. Your income statement, balance sheet, and visual reports provide the data you need to grow your business.
If a company has net income, it may be approved for lines of credit or bank loan financing that will sustain business operations and growth. This guide covers the basics of net income and how to calculate it. Our focus is business net income, although net income and net worth may also apply to personal finance.
A goodwill impairment happens because the accounting for acquisitions says that any price paid to acquire a company above the value of its assets must be recorded as goodwill. If the value of that acquired business is no longer as high, those assets (usually mostly goodwill) must be written-down, or “impaired”. Depreciation is an accounting method that allocates the cost of a fixed asset over its useful life.
This gives them a better idea of how profitable the company’s core business activities are. Keep in mind that COGS doesn’t include indirect expenses (also called ‘overhead’ ‘operating costs’ or ‘operating expenses’). These operating expenses include things like salaries for lawyers, accountants, management, administrative expenses, utilities, insurance, and interest. Another example would be if Company A has $200,000 in sales, $140,000 in COGS, and $80,000 in expenses. Subtracting $140,000 COGS from $200,000 in sales results in $60,000 in gross profit.
There are several actions that could trigger this block including submitting a certain word or phrase, a SQL command or malformed data. Say that you were the owner of a lemonade stand and business was great. Maybe you see a lemonade stand in another city which is up for sale. Each of the expenses above will have parts that are more or less variable from year-to-year. In the case of buying stocks, that place where investors die in its most simplest form is companies that go bankrupt.
Revenue is the income a business generates from selling goods or providing services. In short, it’s all of the money your business has brought in regardless of any payments it has had to make along the way. That’s right, fully 40% of companies in the S&P 500 had 0 years of negative net income over a 20 year time period. Note that only current constituents were included, and not those who have been kicked out of the index. So the actual probability of negative net income is probably higher due to the companies who start to perform poorly being the ones usually ejected from the index.
(Check out our simple guide for how to calculate cost of goods sold). The number is the employee’s gross income, minus taxes and any contributions to https://www.tradebot.online/ accounts such as a 401(k) or HSA. When profits fall below the level of expenses and cost of goods sold (COGS) in a given time, a net loss results.
The loss of equipment’s value over time, known as depreciation, can be considered an expense, as can the repayment of business loan principal, referred to as amortization. All of these types of expenses should be used when calculating your net income. For our net income example, the following annual financial results for Exampt Inc. (not a real company) are assumptions to calculate its net income. We’ll use a multi-step income statement approach, reflecting the multi-step net income formula. Looking at the company’s filings, net income is carried over from the income statement and is the starting point for calculating cash flow.
Yes, they are both calculated by subtracting expenses from income. However, taxes are always part of expenses when calculating personal net income because estimated taxes are traditionally deducted from each paycheck. Companies with more variable expenses can usually cut their expenses easily, making negative net income less of a probability (since they can simply cut those variable expenses when revenues are lower).
Such a strategy can only be successfully implemented when orders can be filled, and this depends on liquidity levels. With low barriers to entry in the trading world, the number of people trying their hands at day trading and other strategies, including scalping, has increased. Newcomers to scalping need to make sure the trading style suits their personality because it requires a disciplined approach.
The other two styles are based on a more traditional approach and require a moving stock, where prices change rapidly. These two styles also require a sound strategy and method of reading the movement. When scalpers trade, they want to profit off the changes in a security’s bid-ask spread. That’s the difference between the price a broker will buy a security from a scalper (the bid price) and the price the broker will sell it (the ask price) to the scalper. This is where you buy or short an asset that is close to a breakout. Second, at times, you should avoid scalping when the market is ranging.
This approach is the opposite of long-term trading which is more based on fundamentals. Scalping is a legal and commonly used stock trading strategy involving quick, short-term trades to profit from small price changes. Therefore, it is https://www.day-trading.info/how-do-i-day-trade-penny-stocks/ paramount for scalpers to have a risk management strategy in place. Some of the common mistakes that scalpers make are poor execution, poor strategy, not taking stop-losses, over-leveraging, late entries, late exits, and overtrading.
Shorter EMA settings (i.e. those below 50 price periods) will send a larger number of buy/sell signals during each trading session. As this occurs, expert scalpers would close the long trade and collect small profits on the position. Now that we know what scalping is, let’s explore some Scalping strategies you can deploy on a daily basis. Scalpers typically employ technical analysis strategies as a way to identify potential trading setups.
This is where you use oscillators like the Relative Strength Index and the MACD. Further, you need to be patient before you start your trading career. Don’t start scalping before you have a good understanding of how trading works. Take at least four months to learn about how to trade before you move to a live account. Also, you need to be patient as you wait for your preferred combination to work.
It is always important for you to know more about correlations between assets. For example, there is a close correlation between Apple and Microsoft.
Some common mistakes scalpers make are inadequate execution and technique, poor exit strategy, over-leveraging, as well as racking up commission charges by overtrading. Market making happens when a scalper tries to profit off the spread by simultaneously posting a bid and an offer price for a specific contract. This strategy succeeds mainly with immobile stocks that can trade significant volumes without massive price changes. This guide will examine scalp trading, otherwise known as scalping. It will present the reader with the five best scalping strategies, tips, and tricks for beginners, as well as the pros and cons of using this trading method.
As outlined above, scalpers tend to focus on 1-minute to 15-minute charts. Charting time frames also play a critical role in determining when to enter and exit trades. It’s very rare that a scalper will monitor charting time frames that are longer than 15 minutes. Unlike scalpers who hold trades for less than 5 minutes, day traders spend several hours on each trade. In addition, unlike scalpers, day traders use fundamental analysis on top of technical analysis when tracking price action. However, like scalpers, day traders avoid keeping their bets open overnight.
A 1-minute and 5-minute time frame are the most common among scalpers. Another benefit of scalping is that a trader does not need to know much about the asset in question. Unlike long-term traders who rely on fundamental information, scalpers’ focus is more on technical analysis. One of the best technical indicators to use in scalping these types of scenarios is the Parabolic Stop and Reverse (SAR), or Parabolic SAR.
For this reason, traders don’t need to know that much about the stock. Scalping utilizes larger position sizes for smaller price gains in the smallest period of holding time. The main goal is to buy or sell a number of shares at the bid—or ask—price and then quickly sell them a few cents higher or lower for https://www.topforexnews.org/investing/best-5g-penny-stocks-right-now/ a profit. The holding times can vary from seconds to minutes, and in some cases up to several hours. The position is closed before the end of the total market trading session, which can extend to 8 p.m. Since these charts indicate past prices, they lose value if the time horizon increases.
This procedure allows for profit even when the bid and ask don’t move at all, as long as there are traders who are willing to take market prices. It normally involves establishing and liquidating a position quickly, usually within minutes or even seconds. Scalping is a popular trading strategy that involves buying or shorting assets eur usd forecast 2021 2022 and exiting after a few minutes at a loss or a profit. The strategy differs from others where traders hold trades for hours, days, or even weeks. Day traders aim to close all their positions within the same day while for scalpers, this time frame is too long. Sometimes, they open numerous positions within 30-minutes or 1-hour.
To qualify as a descending triangle, the formation must meet several conditions. There should be an established trend, although the length and duration of the trend isn’t as important as the robustness of the formation. At least two reaction lows are needed to form the lower horizontal line and two reaction highs to form the upper descending line, with these highs being successively lower. The duration of the pattern can range from a few weeks to many months, and the volume usually contracts as the pattern develops. Based on the technical analysis, I found an important pattern which forms a descending type of the triangle. But, once again I remind you that even the descending triangle which usually indicate a bearish pressure, it has a potential to make it a failure too.
This bias is highlighted by the pattern’s lower highs, which reflect increasing selling pressure. In short, the descending triangle is an easily recognized pattern that can provide you with valuable insights into an asset’s forthcoming price movements. When the pattern’s breakout occurs, it’s usually indicative of a bearish move. The breakout’s direction and price projection, determined by the widest distance of the pattern subtracted from the resistance breakout, can serve as a crucial guideline. However, this target isn’t absolute and should be used with other technical analysis tools. He has a vast knowledge in technical analysis, financial market education, product management, risk assessment, derivatives trading & market Research.
A stop-loss order could be half of the take-profit size or be placed above the upper band of the triangle (3). Following this, price breaks down below the support with strong momentum. As you can see, the minimum measure distance is nothing but the project from the initial high. This simple volume based descending triangle pattern is easy to trade but requires lot of time to watch the charts. Once you identify the lower volume, simply measure the distance from the first high and low.
This strategy uses a very simple combination of trading volumes and asserting the trend, which can be used to capture short term profits. In most cases, a descending triangle pattern can also see a sloping base as well. Instead of a flat support level, you can see higher lows being formed. In contrast to the symmetrical triangle, a descending triangle has a definite bearish bias before the actual break. The symmetrical triangle is a neutral formation that relies on the impending breakout to dictate the direction of the next move.
Traders recognize the price is in a downtrend, draw the lower horizontal line after at least two unsuccessful attempts to break the support level. Lastly, place a stop loss order above the lower horizontal support line while trading in stock market. A Descending Triangle is a bearish configuration that appears in both uptrends and downtrends. how are currency exchange rates determined The chart pattern indicates a trend reversal when it appears in an uptrend and a trend continuation when it appears in a downtrend. The continuation signal is considered more important although traders use both signals to forecast a trend’s direction. Contrary to popular opinion, a descending triangle can be either bearish or bullish.
Although both signals are used by traders when predicting a trend direction, the continuation signal is primary. The descending triangle pattern is a type of chart pattern often used by technicians in price action trading. The pattern usually forms at the end of a downtrend or after a correction to the downtrend. However, it can also occur as a consolidation in an uptrend as well. The descending triangle pattern is 79% successful in a downtrend and results in an average price decline of 16%. There is an 87% success rate for an upward breakout of an existing uptrend when a descending triangle stock chart pattern is present.
Not confirmed even if we see a rejection at this down sloping trend line. Also just a quick look at the use of the fibonacci retracement tool. We have the extreme high @ (nice round number 🤔) down to the low of correction @ 8220. A financial professional will offer guidance based on the information provided and offer a no-obligation call to better understand your situation.
More volume usually indicates more selling pressure in the descending triangle pattern. A very important fact to bear in mind when trading the descending triangle is that it is very subjective. Therefore if you https://www.topforexnews.org/news/what-type-of-crm-do-forex-companies-need/ are new to trading the descending triangle stock pattern, you need to have a lot of practice. Familiarizing yourself with it in the simulator will allow you to build your own custom triangle trading strategies.
At Finance Strategists, we partner with financial experts to ensure the accuracy of our financial content. For information pertaining to the registration status of 11 Financial, please contact the state securities regulators for those states in which 11 Financial maintains a registration filing. 11 Financial is a registered investment adviser located in Lufkin, Texas. 11 Financial may only transact business in those states in which it is registered, or qualifies for an exemption or exclusion from registration requirements. If we set our short order below the bottom of the triangle, we could’ve caught some pips off that dive. For example, three touches of the support line and two for the resistance line.
This can be used as an initial signal to prepare for long positions in anticipation of a breakout. In this case, it becomes a continuation pattern instead of a reversal pattern. When trading the descending triangle, traders need to identify the downtrend and this can be seen in the EUR/USD chart below. Thereafter, the descending https://www.day-trading.info/cpt-markets-forex-broker-cpt-markets-review-cpt/ triangle appears as the forex candlesticks start to consolidate. The measuring technique can be applied once the triangle forms, as traders anticipate the breakout. Prices on the upper trendline continue to fall, resulting in a triangular formation that is getting smaller until the lower trendline’s level of support is broken.
The significance and reliability of the descending triangle pattern can vary depending on the timeframe being analyzed. Look for signs of the pullback losing momentum, such as a decrease in volume or a failure to reach the previous resistance level (the broken lower trendline). The breakout is typically accompanied by an increase in volume, signaling the potential for a substantial downward move.
Mixpanel offers a free ‘core analytics’ version with the usual storage limitations. By showing you what actions people take and what features they like best, Mixpanel helps you focus on your strengths and refine your offering. Integrations with Zendesk, Salesforce, Zoho, and other CRMs ensure MixPanel can slot into your existing workflow. The platform applies “transforms” to datasets, meaning it takes raw data and uses transformational actions like sorting, filtering, grouping, summing, and making ratio comparisons. Then there’s the Smart Builder dashboard, which takes and separates data and charts and then, using business intelligence, arranges and charts information. You’ll also gain visibility on opportunities you wouldn’t have noticed otherwise.
Integrations with Office 365 and G Suite ensure you can import and organize contacts from the platform you’re already using. The ticket contains the customer’s name, details, and the nature of their issue, also flagging the relevant department according to what the problem is to ensure they speak to the right person. SugarCRM’s Sales Stage keeps track of opportunities from “Prospect” to “Proposal” to “Deal Won” and assigns a probability of success for each stage.
On the voice side, there’s a built-in phone module with auto-dialing, call recording, and call routing features. Pipedrive has a functional mobile app for both Android and iOS to keep you on top of things. Insightly is available on the web and mobile versions for Android and iOS.
For small businesses in the B2B game, RSS is an excellent choice for entering the CRM scene. A free CRM allows you to try out new tools without making any initial investment. Still, there are free platforms out there, and one may just be good enough—or at least a good starting point—for your business needs. The CRM is free Community Edition in three paid versions (Professional, Enterprise, and Ultimate). If you’re running your working life with Microsoft products, there’s always SplendidCRM.
Netflix’s disruptive innovation is built on the foundation of great customer experience management. Netflix is now a $28-billion company, which is tenfold what Blockbuster was worth. Customers expect to interact with organizations through the channels of their choice.
Upgrade to a premium tier to gain access to advanced calling features such as an autodialer and voice mail drop. Premium tiers also include product management, team management, custom dashboards and automated workflows. Find missing contact information using Nimble’s data enrichment features and send personalized outreach at scale with group messaging. You can also take advantage of its online form builder to generate inbound leads.
For example, HubSpot’s most expensive tier is $500 month-to-month or $450 per month, paid annually, but includes five users. We used these factors to assign each CRM a weighted score out of five and organize this list of the 15 best CRM software providers. A CRM strategy is a company-wide plan to increase revenue and improve customer relationships using specific actions and technology. In this piece, we teach you how to build a CRM strategy with the use of CRM software.
Customer relations, also referred to as customer relationship management (CRM) or relationship management, is a set of business processes devoted to increasing customer loyalty and satisfaction. A key element of customer relationship management is getting to know your customers and creating experiences for them based on that knowledge. You can do this by collecting relevant data such as their goals and challenges, their values, and their motivations behind making purchases. You can then manage that data in a customer relationship management system. CRM software keeps your sales pipeline flowing as current customers cycle through it and new customers flow in.
All of this information, together, makes up the ideal customer(s) you’re selling to. This cyclical process increases customer retention while keeping potential leads front of mind. It should provide easy access to real-time analytics so that you can respond quickly to unexpected scenarios.
Whether you seek operational excellence, aspire to elevate customer experiences, or leverage data analytics, CRM.org is your go-to resource. Salesforce has a CRM with many powerful features, comprising the full operational suite of sales forecasting, reporting, automating tasks, and collecting and documenting sales leads. Calibrated to fine-tune daily operations and reduce effort and expenses, the platform offers iterative improvements to all your business needs. CRMs can improve your marketing campaigns with powerful analytics and collaborative tools for visibility across your team. Analytical tools can find meaningful patterns for actionable insights, letting you run effective, targeted ads through marketing automation.
In addition to core sales pipeline management features, the CRM includes advanced features such as lead scoring, sales forecasting, lead assignment, email templates, mass email and more. You can see everything in one place — a simple, customizable dashboard that can tell you a customer’s previous history with you, the status of their orders, any outstanding customer service issues, and more. You can even choose to include information from their public social media activity — their likes and dislikes, what they are saying and sharing about you or your competitors. You’ll have clear visibility of every opportunity or lead, showing you a clear path from inquiries to sales.
Radar, a ‘contact relationship management’ platform, was developed by a team with a creative agency background. It’s designed for businesses where talent morphs from project to project, providing a single space for organizing specialist freelance workers. Generally, it just means software streamlining customer interactions with sales, marketing, and service a company is considering several customer relationship management automation. Operational customer relationship management software is the most common variety. Truth be told, “operational” really is a catch-all term, and there are a lot of differences across CRMs in this category. Apptivo offers its starter version for free, and it’s a solid bet for a tiny team of three users, with 500 MBs of storage provided.
Combined with CRM software and data from your website, you can use this information to analyze customer behavior and create additional touchpoints that better serve buyer needs. Today, there are many ways to reach and engage leads and customers online such as live chat, email, video call, and social media. In doing so, internal teams can share critical data and customer information so they can work as a cohesive unit. As a result, customers will have a seamless and consistent end-to-end customer experience that makes them want to remain loyal to your brand. This alignment — specifically, the alignment between sales and marketing — helps your team streamline all stages of the buyer’s journey. He has worked in the corporate sector for over twenty years and is a driving force behind many successful companies.
Another example would be Tesco, a leading grocery and general merchandise retailer. They use CRM in their call centers and to manage customer data across various channels. SplendidCRM believes Windows and Android people deserve as clean and straightforward a CRM experience as Mac/iOS users, so https://1investing.in/ they built a platform that delivered just that. SplendidCRM offers robust integrations (Microsoft Office 365, Google Apps, Facebook, etc) and well-rounded features spanning workflow, contact, and product management. Marketing and sales features are bundled separately from customer service.
You can shop around to see if there’s an existing no-cost solution for your business, buy the right one for the best price, or hire someone to build what you need. Depending on your skill set and what you want to achieve with a CRM, an open-source platform may or may not be better than a closed-source one. Copper’s mobile app is designed to integrate seamlessly with all your G Suite apps. It’s focused on simplicity but manages to mirror the look and feel of their web app.
This understanding can help to build loyalty and trust between a business and its customers, which can lead to repeat business and referrals. CRMs can help with anything from basic contact management to advanced sales pipeline management. If you sell a product or service that requires lead nurturing, or manage ongoing client relationships, then a CRM is probably right for you. Most CRM providers will either offer a free tier or a free trial between seven to 30 days. Paid tiers start at $8 per month, per user on the low end and can get as high as $300 per month, per user for advanced tiers suitable for large businesses or teams. However, some CRM providers offer monthly or annual pricing that include more than a single user.
CRM software allows you to create a visual sales pipeline broken down by stages that mirror your overall sales process. It then offers features to help track leads and opportunities as they move through each stage of your sales pipeline toward deal-close. Freshsales is the CRM offered by Freshworks, which also offers marketing and service platforms.
The FTSE 100 returned an average of 8.3% per year from 2010 to 2019 for investors who reinvested their dividends. remote mobile developer jobs Without dividend reinvestment, the FTSE 100 returned around 4.3% per annum over this period. Returns depend on factors that impact the individual companies or industries on the index, and ultimately the index price. The European Union being the United Kingdom biggest trading partner has also proved to have a significant impact on the performance of the Index. Adverse economic situations in the trading block most of the time triggers a sense of fear in the market which affects the performance of most stocks consequently leading to FTSE underperformance.
In other words, the FTSE 100 is open as of 8am and closes at 4.30pm in UK time, except during stock market holidays and the weekend. A company’s market cap rank needs to fall below 110, not 100, for it to be demoted. Similarly, for a company to be promoted to the FTSE 100, it needs to be ranked at 90 or above. The U.S. version of this would be the S&P 500, which tracks the top 500 U.S. companies by market cap, or the Dow Jones Industrial Average (DJIA), which tracks 30 prominent U.S. companies. Understanding how the FTSE 100 price is calculated and having a historical perspective on its average values can provide valuable insights into the index’s performance over time.
When the FTSE 100 is quoted up or down, it is measured against the previous day’s market close. Some ETPs carry additional risks depending on how they’re structured, investors should ensure they familiarise themselves with the differences before investing. Whilst the name you lead you to believe that the FTSE All Share index contains every company listed on the stock market, that is not the case. The FTSE All Share index simply brings together all the companies in the FTSE 100, FTSE 250 and FTSE Small Cap indexes. The FTSE All Share index accounts for 98% of the total market capitalisation of companies eligible for inclusion in the UK FTSE series.
In this section, we’ll explore the significance of the FTSE 100 to both investors and the wider economy. Understanding these aspects empowers investors to make informed decisions and maximize investment returns. The FTSE Group also monitors bonds held and issued by colmex pro vs td ameritrade forex broker comparison the companies listed as a way of ascertaining their financial stability. A merger of the FTSE 100 and FTSE 250 makes up the FTSE 350 index which accounts for about 95% of all companies listed in the U.K. Adding up FTSE 100, FTSE 250 and FTSE Small cap and you end up with FTSE All Share.
The UK’s second-largest investment trust has bought back more than £1bn of its shares since it began the buyback in March, setting new records for the largest buyback in trust history. Individual FTSE 100 stocks yielded returns of 3238% between 2010 and 2019 (as of 30 August 2019). You can use our Hindsight Investments tool to see how much you could have made by investing in individual FTSE 100 shares. In the UK market, the other FTSE UK indices include the FTSE 250 (the next 250 largest companies after the FTSE 100) and the FTSE SmallCap (the companies smaller than those).
The FTSE 100 lists the top 100 companies by market cap, listed on the London Stock Exchange. The index seeks to provide a quick snapshot of the U.K stock market given its components which account for a huge percentage of the Kingdom’s total equity market value. For this reason, if the index is up, it means most people in the broader market are buying shares, and when it is down, it means people are dumping shares. Because the total market capitalisation is affected by the individual share prices of the companies, as share prices change throughout the day, so the index value changes. When the FTSE 100 is ‘up’ or ‘down’, the change is being quoted against the previous day’s closing price. The FTSE 100 is an index composed of the 100 largest (by market capitalisation ) companies listed on the London Stock Exchange (LSE).
HSBC is another high profile inclusion in the FTSE 100 having generated significant shareholder value over the years. Other high profile companies listed in the index include mining giant BHP Billiton with a footprint across the globe, mobile telecommunication giant Vodafone, oil giant BP and mining giant Rio Tinto. However, this does not mean that the value of all the companies listed in the exchange has increased by more than six-fold. The fact that the index components have changed overtime points to disparity when it comes to gains and losses of fxnet reviews and user ratings the individual companies in the Index. It is similar to the Dow Jones Industrial Average, and companies listed are from the industrial and commercial sectors.
These companies are publicly listed, and each company’s value changes depending on its share price. The Financial Times Stock Exchange, now known as the FTSE Russell Group, provides a variety of indices that track different segments of the U.K. Its most popular index, the FTSE 100, tracks the top 100 companies by market cap in the United Kingdom, similarly to how the S&P 500 works in the U.S. Remember, investing in the FTSE 100 should be based on individual goals, time horizon, risk tolerance, and thorough research. As investors embark on their investment journey, it’s important to keep these insights in mind to make sound decisions and navigate the exciting world of the FTSE 100. The share index acts a gauge of how businesses regulated by company Law in the U.K are performing.
The FTSE 100 and FTSE 250 together make up the FTSE 350 — add in the FTSE SmallCap and you get the FTSE All-Share. The figure changes throughout the day while the market is open, just like a share price. The figure published in the evening news is the FTSE 100’s closing value at the end of that day. A stock exchange is a company that operates a marketplace where stocks are bought and sold. The easiest way for Americans to invest in the FTSE is by investing in exchange-traded funds that track its indices, such as the Vanguard FTSE 100, the Vanguard FTSE 250, the iShares 350 U.K. The FTSE 100 is often considered a leading indicator of prosperity for companies in the U.K.
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