Cash Flow Beats Profit

Most people stay broke because they think profit is the same thing as cash.

It is not. The income statement is just a story, but the cash flow statement is the

lie detector test. Here is your sixty-second finance degree. Debt is renting money,

equity is owning the house. Bonds are for safety, stocks are for growth, and leverage is

a double-edged sword that can make you rich or bankrupt you overnight. You need to look

at the P/E ratio to see if a stock is cheap and the current ratio to see if they can

pay their bills. Stop gambling on feelings and start investing with math.