What's the difference between stocks and bonds? Sal illustrates this concept through explaining the two ways a company can raise capital: debt or equity. Drawing out a balance sheet, he categorizes stocks as equity and bonds as debt,...

Although mainly reviewing previous videos, Sal delves further into the details of IPOs and explores the reasons companies raise equity and others purchase it. As he describes the assets and equity of a business, note there is an error in...

Although mainly reviewing previous videos, Sal delves further into the details of IPOs and explores the reasons companies raise equity and others purchase it. As he describes the assets and equity of a business, note that there is an...

Can looking at the price per share tell a buyer the value of a stock? Not necessarily, Sal explains as he calculates the price-to-earnings ratio to demonstrate this relativity. He reminds learners to consider the source of a company's...

Once Sal's hypothetical company has gone through two rounds of seed investor financing, competition drives it to raise significantly more cash. Learners investigate the initial public offer process, starting with a visit to an investment...

Help young economists understand the concept of a company's increasing value despite a lack of profit. They explore Sal's case study startup company, which needs to raise more money after going through the original angel investment. For...