Investing 101: 7 Utilities Companies with Encouraging AR's and Dividends …

Investing 101: 7 Utilities Companies with Encouraging AR's and Dividends …

For investors, there's nothing better than getting a dividend from your prized asset every quarter. A dividend in the profitable but safe range of 3-7% is even better. With droughts across America this summer and oil prices especially volatile during
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Kapitall Blog (blog)
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Fewer Taxes for Businesses Investing in Solar

Fewer Taxes for Businesses Investing in Solar

Fewer Taxes for Businesses Investing in Solar. By Matt Porter. January 3, 2013 Updated Jan 3, 2013 at 6:20 PM EST. Binghamton, NY (WBNG Binghamton) Wes Ernsberger helped his church become solar powered two years ago. Using the computer, he can
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Your Questions About In Which Journal Is The Return Of Supplies Purchased On Account Recorded

James asks…

Record the January transactions in the appropriate journal—sales, purchases, cash receipts, cash payments, and?

General Ledger
Account Number
Account Title
January 1 Opening Balance
101
Cash
$33,750
112
Accounts Receivable
13,000
115
Notes Receivable
39,000
120
Merchandise Inventory
20,000
125
Office Supplies
1,000
130
Prepaid Insurance
2,000
157
Equipment
6,450
158
Accumulated Depreciation
1,500
201
Accounts Payable
35,000
301
I. Packard, Capital
78,700

Accounts Receivable
Subsidiary Ledger

Accounts Payable
Subsidiary Ledger
Customer
January 1 Opening Balance

Creditor
January 1 Opening Balance
R. Draves
$1,500

S. Kosko
$ 9,000
B. Hachinski
7,500

R. Mikush
15,000
S. Ingles
4,000

D. Moreno
11,000

Jan. 3
Sell merchandise on account to B. Remy $3,100, invoice no. 510, and J. Fine $1,800, invoice no. 511.
5
Purchase merchandise on account from S. Yost $3,000 and D. Laux $2,700.
7
Receive checks for $4,000 from S. Ingles and $2,000 from B. Hachinski.
8
Pay freight on merchandise purchased $180.
9
Send checks to S. Kosko for $9,000 and D. Moreno for $11,000.
9
Issue credit of $300 to J. Fine for merchandise returned.
10
Summary cash sales total $15,500.
11
Sell merchandise on account to R. Draves for $1,900, invoice no. 512, and to S. Ingles $900, invoice no. 513.

Post all entries to the subsidiary ledgers.
12
Pay rent of $1,000 for January.
13
Receive payment in full from B. Remy and J. Fine.
15
Withdraw $800 cash by I. Packard for personal use.
16
Purchase merchandise on account from D. Moreno for $15,000, from S. Kosko for $13,900, and from S. Yost for $1,500.
17
Pay $400 cash for office supplies.
18
Return $200 of merchandise to S. Kosko and receive credit.
20
Summary cash sales total $17,500.
21
Issue $15,000 note to R. Mikush in payment of balance due.
21
Receive payment in full from S. Ingles.

Post all entries to the subsidiary ledgers.
22
Sell merchandise on account to B. Remy for $3,700, invoice no. 514, and to R. Draves for $800, invoice no. 515.
23
Send checks to D. Moreno and S. Kosko in full payment.
25
Sell merchandise on account to B. Hachinski for $3,500, invoice no. 516, and to J. Fine for $6,100, invoice no. 517.
27
Purchase merchandise on account from D. Moreno for $12,500, from D. Laux for $1,200, and from S. Yost for $2,800.
28
Pay $200 cash for office supplies.
31
Summary cash sales total $22,920.
31
Pay sales salaries of $4,300 and office salaries of $3,600.

Justin answers:

What???

John asks…

Comprehensive Problem-Perpetual?

If the Working Papers that accompany this textbook are not being used, omit this problem.) You have just taken over the accounting for Choi Enterprises, whose annual accounting period ends December 31. The company’s previous accountant journalized its transactions through December 15 and posted all items that required posting as individual amounts (see the journals and ledgers in the Working Papers). The company’s transactions beginning on December 16 follow (terms for all its credit sales are 2_10, n_30):
Dec. 16 Sold merchandise on credit to Hanna Seppa, Invoice No. 916, for $7,700 (cost is $4,600).
17 Received a $1,040 credit memorandum from Funk Company for the return of merchandise received on December 15.
17 Purchased $615 of office supplies on credit from KK’s Supply Company, invoice dated December 16, terms n_10 EOM.
18 Received a $40 credit memorandum from KK’s Supply Company for the return of office supplies received on December 17.
20 Issued a $500 credit memorandum to Bo Brown for defective (worthless) merchandise sold on December 15 and returned for credit.
21 Purchased $6,700 of store equipment on credit from KK’s Supply Company, invoice dated December 21, terms n_10 EOM.
22 Received payment from Hanna Seppa for the December 12 sale less the discount.
23 Issued Check No. 623 to Crossland Company in payment of its December 15 invoice less the discount.
24 Sold merchandise on credit to Shilo Jones, Invoice No. 917, for $1,200 (cost is $600).
24 Issued Check No. 624 to Funk Company in payment of its December 15 invoice less the return and the discount.
25 Received payment from Bo Brown for the December 15 sale less the return and the discount.
26 Purchased $8,100 of merchandise from Crossland Company, invoice dated December 25, terms 2_10, n_60.
29 Sold a neighboring merchant five boxes of file folders (office supplies) at their cost of $50 cash.
30 Ken Choi, the sole owner of Choi Enterprises, used Check No. 625 to withdraw $2,500 in cash from the business for personal use.
31 Issued Check No. 626 to Jamie Inman, the company’s only sales employee, in payment of her $2,020 salary for the last half of December.
31 Issued Check No. 627 to Access Electric Company in payment of its $710 December electric bill.
31 Cash sales for the last half of the month are $29,600 (cost is $11,200). (Cash sales are recorded daily but are recorded only twice in this problem to reduce repetitive entries.)
Required
1. Record these transactions in the journals provided in the working papers.
2. Verify that amounts that should be posted as individual amounts to the general ledger accounts have been posted, including posting to the customer and creditor accounts. (Such items are immediately posted.) Foot and crossfoot the journals and make the month-end postings.
3. Prepare a December 31 trial balance and prove the accuracy of the subsidiary ledgers by preparing schedules of both accounts receivable and accounts payable.

Justin answers:

To do this assignment, be guided by Larson?Wild?Chiappetta: Fundamental Accounting Principles, Seventeenth Edition, chapter 7.

Thomas asks…

I NEED HELP WITH SPECIAL JOURNALS?

H I have a comprehensive project I am trying to complete. I have completed the majority and got most answers correct. Unfortunately my worksheet is not balancing. I would really appreciate some help or pointers with this, thanks!!!
May 1 Issued Check No. 3410 to S&P Management Co. in payment of the May rent, $3,710. (Use
two lines to record the transaction. Charge 80% of the rent to Rent Expense—Selling Space
and the balance to Rent Expense—Office Space.)
2 Sold merchandise on credit to Hensel Company, Invoice No. 8785, for $6,100 (cost is $4,100).
2 Issued a $175 credit memorandum to Knox, Inc., for defective (worthless) merchandise sold
on April 28 and returned for credit. The total selling price (gross) was $4,725.
3 Received a $798 credit memorandum from Peyton Products for the return of merchandise
purchased on April 29.
4 Purchased the following on credit from Gear Supply Co.: merchandise, $37,072; store supplies,
$574; and office supplies, $83. Invoice dated May 4, terms n_10 EOM.
5 Received payment from Knox, Inc., for the balance from the April 28 sale less the May 2
return and the discount.
8 Issued Check No. 3411 to Peyton Products to pay for the $7,098 of merchandise purchased
on April 29 less the May 3 return and a 2% discount.
9 Sold store supplies to the merchant next door at their cost of $350 cash.
10 Purchased $4,074 of office equipment on credit from Gear Supply Co., invoice dated May
10, terms n_10 EOM.
11 Received payment from Hensel Company for the May 2 sale less the discount.
11 Purchased $8,800 of merchandise from Garcia, Inc., invoice dated May 10, terms 2_10,
n_30.
12 Received an $854 credit memorandum from Gear Supply Co. for the return of defective office
equipment received on May 10.
15 Issued Check No. 3412, payable to Payroll, in payment of sales salaries, $5,320, and office
salaries, $3,150. Cashed the check and paid the employees.
15 Cash sales for the first half of the month are $59,220 (cost is $38,200). (Cash sales are
recorded daily but are recorded only twice here to reduce repetitive entries.)
15 Post to the customer and creditor accounts. Also post individual items that are not included
in column totals at the end of the month to the general ledger accounts. (Such items are
posted daily but are posted only twice each month because they are few in number.)
16 Sold merchandise on credit to Hensel Company, Invoice No. 8786, for $3,990 (cost is
$1,890).
17 Purchased $13,650 of merchandise from Fink Corp., invoice dated May 14, terms 2_10,
n_60.
19 Issued Check No. 3413 to Garcia, Inc., in payment of its May 10 invoice less the discount.
22 Sold merchandise to Lee Services, Invoice No. 8787, for $6,850 (cost is $4,990), terms
2_10, n_60.
23 Issued Check No. 3414 to Fink Corp. in payment of its May 14 invoice less the discount.
24 Purchased the following on credit from Gear Supply Co.: merchandise, $8,120; store supplies,
$630; and office supplies, $280. Invoice dated May 24, terms n_10 EOM.
25 Purchased $3,080 of merchandise from Peyton Products, invoice dated May 23, terms 2_10,
n_30.
26 Sold merchandise on credit to Crane Corp., Invoice No. 8788, for $14,210 (cost is $8,230).
26 Issued Check No. 3415 to Perennial Power in payment of the May electric bill, $1,283.
29 The owner of Colo Company, Jenny Colo, used Check No. 3416 to withdraw $7,000 cash
from the business for personal use.
30 Received payment from Lee Services for the May 22 sale less the discount.
30 Issued Check No. 3417, payable to Payroll, in payment of sales salaries, $5,320, and office
salaries, $3,150. Cashed the check and paid the employees.
31 Cash sales for the last half of the month are $66,052 (cost is $42,500).
31 Post to the customer and creditor accounts. Also post individual items that are not included
in column totals at the end of the month to the general ledger accounts. Foot and crossfoot
the journals and make the month-end postings.
Required
1. Enter these transactions in a sales journal, a purchases journal, a cash receipts journal, a cash disbursements
journal, or a general journal as illustrated in this chapter. Post when instructed to do
so. Assume a perpetual inventory system.
2. Prepare a trial balance in the Trial Balance columns of the work sheet form provided with the working
papers. Complete the work sheet using the following information for accounting adjustments:
a. Expired insurance, $553.
b. Ending store supplies inventory, $2,632.
c. Ending office supplies inventory, $504.
d. Depreciation of store equipment, $567.
e. Depreciation of office equipment, $329.
Prepare and post adjusting and closing entries.

Justin answers:

To do this assignment, be guided by Larson?Wild?Chiappetta: Fundamental Accounting Principles, Seventeenth Edition, chapter 7.

Ken asks…

Help with my final review in accounting?

1. On the basis of the following data, what is the proper adjusting entry at Dec. 31, the end of the fiscal year; supplies account balance before adjustment, $550; supplies physical inventory on Dec. 31, $170

2. For the current fiscal year sales were 625,000, sales returns and allowances were 20,000, purchases were 450,000, and purchases discounts were 7,000. Merchandise inventory at the beginning of the year was 110,000 and at the end of the year it was 120,000. What was the amound of the cost of goods sold?
a. 440000
b. 433000
c. 460000
d. 453000
e. none of the above

3. Under which of the cost flows are the most recent costs assigned to inventory?
a. FIFo
b. LIFO
c. weighted average
d. moving average
e. none of the above

4. Which of the following would be included in the initial cost of plant assets?
a. insurance on the asset wile in transit
b. cost of special foundation for the asset
c. cost to install the asset
d. all of the above

5. tangible assest used in the business that are of a relatively fixed or permanent nature are called
a. plant assets
b. current assets
c. accounts payable
d. accounts rec.
e. none of the above

6. which of the following accounts in the ledger will appear in the post closing trial balance?
a. depreciation exp
b. morgage note payable
c. dividends
d. all of the above
e. none of the above

7. The verification that the debits and credits in the ledger are equal is called
a. ledger
b. trial balance
c. posting
d. journal
e. none of the above

8. the term applied to the periodic cost expiration resulting from a decline in the utility of intangible assests is
a. depreciation
b. depletion
c. amortization
d. all of the above
e. none of the above

9. the controlling account in the general ledger that summarizes the debits and credits to the individual accounts in the creditors ledger is entitiled:

10. if total assets decreased by 5000 during a period of time and capital increased by 15,000 during the same period, the amount and direction (increase/decrease) of the periods change in total liabilites is

11. A series of entries journalized at the end of the accounting period to remove the balances form the temporary accounts so that they will be ready for use in accumulating data for the following accounting perid are termed

12. the balance in the prepaid insurance account before adjustment at the end of the year is 1740 and the amount of insurance expired during the year is 620. the adjusting entry required is

13. if merchandise inventory is being valued at cost and price level is consistently rising, which method of costing will yield the smallest net income

14. the current ratio is a
a. liquidity ratio
b. profitablity ratio
c. long term solvency ratio
d. market strength ratio

15. a purchase invoice included the following info; mercahndise price 500, transportation 25, FOB shipping point 2/10, n/30. If the invoice is paid within the discount period, what is the correct amount of the payment

16. What is considered to be the sales price of an item of merchandise with a list price of $500, subject to a trade discount of 30% and with terms of 2/10, n/30

Justin answers:

1. On the basis of the following data, what is the proper adjusting entry at Dec. 31, the end of the fiscal year; supplies account balance before adjustment, $550; supplies physical inventory on Dec. 31, $170

Debit Supplies Expense $380
Credit Supplies Account $380

2. For the current fiscal year sales were 625,000, sales returns and allowances were 20,000, purchases were 450,000, and purchases discounts were 7,000. Merchandise inventory at the beginning of the year was 110,000 and at the end of the year it was 120,000. What was the amount of the cost of goods sold?

B. 433000

($450,000 – $7,000) + $110,000 – $120,000

3. Under which of the cost flows are the most recent costs assigned to inventory?

A. FIFO

4. Which of the following would be included in the initial cost of plant assets?

D. All of the above

5. Tangible assets used in the business that are of a relatively fixed or permanent nature are called

a. Plant assets

6. Which of the following accounts in the ledger will appear in the post closing trial balance?

B. Mortgage note payable

7. The verification that the debits and credits in the ledger are equal is called

e. None of the above

Answer = Balancing

8. The term applied to the periodic cost expiration resulting from a decline in the utility of intangible assets is

c. Amortization

9. The controlling account in the general ledger that summarizes the debits and credits to the individual accounts in the creditors ledger is entitled:

Accounts Payable

10. If total assets decreased by 5000 during a period of time and capital increased by 15,000 during the same period, the amount and direction (increase/decrease) of the periods change in total liabilities is:

-$20,000

11. A series of entries journalized at the end of the accounting period to remove the balances from the temporary accounts so that they will be ready for use in accumulating data for the following accounting period are termed

Closing Entries

12. The balance in the prepaid insurance account before adjustment at the end of the year is 1740 and the amount of insurance expired during the year is 620. The adjusting entry required is

Debit Insurance Expense $1,120
Credit Prepaid Insurance $1,120

13. If merchandise inventory is being valued at cost and price level is consistently rising, which method of costing will yield the smallest net income

LIFO

14. The current ratio is a

a. Liquidity ratio

15. A purchase invoice included the following info; merchandise price 500, transportation 25, FOB shipping point 2/10, n/30. If the invoice is paid within the discount period, what is the correct amount of the payment

$525 X 98% = $514.50

16. What is considered to be the sales price of an item of merchandise with a list price of $500, subject to a trade discount of 30% and with terms of 2/10, n/30

$500 X 70% = $350

If they take advantage of the cash discount, the 2% discount would be recorded as a contra revenue for $7. It does not affect the sale price as there is no guarantee that the customer will take the discount.

George asks…

Help with Choi Enterprises?

You have just taken over the accounting for Choi Enterprises, whose annual accounting period ends December 31. The company’s previous accountant journalized its transactions through December 15
and posted all items that required posting as individual amounts (see the journals and ledgers in the Working Papers). The company’s transactions beginning on December 16 follow (terms for all its
credit sales are 2_10, n_30):
Dec. 16 Sold merchandise on credit to Hanna Seppa, Invoice No. 916, for $7,700 (cost is $4,600).
17 Received a $1,040 credit memorandum from Funk Company for the return of merchandise received on December 15.
17 Purchased $615 of office supplies on credit from KK’s Supply Company, invoice dated December 16, terms n_10 EOM.
18 Received a $40 credit memorandum from KK’s Supply Company for the return of office supplies received on December 17.
20 Issued a $500 credit memorandum to Bo Brown for defective (worthless) merchandise sold on December 15 and returned for credit.
21 Purchased $6,700 of store equipment on credit from KK’s Supply Company, invoice dated December 21, terms n_10 EOM.
22 Received payment from Hanna Seppa for the December 12 sale less the discount.
23 Issued Check No. 623 to Crossland Company in payment of its December 15 invoice less the discount.
24 Sold merchandise on credit to Shilo Jones, Invoice No. 917, for $1,200 (cost is $600).
24 Issued Check No. 624 to Funk Company in payment of its December 15 invoice less the return and the discount.
25 Received payment from Bo Brown for the December 15 sale less the return and the discount.
26 Purchased $8,100 of merchandise from Crossland Company, invoice dated December 25, terms 2_10, n_60.
29 Sold a neighboring merchant five boxes of file folders (office supplies) at their cost of $50 cash.
30 Ken Choi, the sole owner of Choi Enterprises, used Check No. 625 to withdraw $2,500 in cash from the business for personal use.
31 Issued Check No. 626 to Jamie Inman, the company’s only sales employee, in payment of her $2,020 salary for the last half of December.
31 Issued Check No. 627 to Access Electric Company in payment of its $710 December electric bill.
31 Cash sales for the last half of the month are $29,600 (cost is $11,200). (Cash sales are recorded daily but are recorded only twice in this problem to reduce repetitive entries.)
Required
1. Record these transactions in the journals provided in the working papers.( I need help with the purchases journal, cash disbursements journal)
2. Verify that amounts that should be posted as individual amounts to the general ledger accounts have been posted, including posting to the customer and creditor accounts. (Such items are immediately
posted.) Foot and crossfoot the journals and make the month-end postings. (I need help with the general ledger and the accounts payable ledger)
3. Prepare a December 31 trial balance and prove the accuracy of the subsidiary ledgers by preparing schedules of both accounts receivable and accounts payable. (I need help with the trial balance)

Justin answers:

I’ve sent the file to that address you gave me.

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The Pros And Cons Of Real Estate Investing

Many individuals want to get into real estate investing. Even though some people do make a large profit from it, it is essential that a person knows what they are obtaining into. Below are a couple of merits and demerits of house investing.

The first benefit with house investing is that they are easy to run. In the beginning, it might be a bit hectic, as you will have to appear for a excellent home that is in a demanding market. If you are creating from scratch, it will be even more tedious as you will have to offer with contractors and make sure that things are shifting nicely. Once you really have the building, you will also have to look for actuel. However, as soon as you’ve done all this, the relaxation is easy. In fact, you can choose to get a house supervisor to consider care of any actual estate you may own. This will alleviate any pressure from, as you will only have to go pick up your checks.

Moreover, property investing offers higher leverage. This means that you will only have to increase a small quantity of richesse in order to purchase the house. Most banks will easily give you a mortgage mortgage to buy a home, particularly if you have a great credit score. What is more, you can arrange your payments to fit you as most banks will generally give you a optimum of 25 years to repay the loan. Alternatively, you could also use the money you receive from lease to spend back the mortgage.

House investing also offers higher returns for its investors. Most people say that it is expensive to invest in real estate. While this may be accurate, the higher the price of the property the greater the returns. Think about a home that was becoming sold for $250,000. If the market is good, the value could rise by about ten %. This indicates that the investor has attained $twenty five,000 in passive income.

Property investors are also offered excellent tax advantages. All expenses for the house are tax deductible. Furthermore, if you are not able to get a tenant and your home was bought on mortgage, meaning you have to make home loan payments, your house will not be taxed for that year. Moreover, if the value o upkeep and repairs exceed the amount the house is bringing in, then you are also exempt from having to pay taxes for that yr.

However, an investor is not guaranteed to get a great return by investing in actual estate. Let us appear at the 2008 financial crisis. Some unfortunate investors purchased property just prior to the crisis hit. They most likely noticed the housing marketplace and thought that prices would carry on to increase. Unfortunately, most of them misplaced out.

Another drawback of real estate investing is the low liquidity house investments provide. Unlike other investments, you are not always guaranteed to have a purchaser for your house when you want to offload. This makes it unsuitable for lengthy-term traders.

Finally, the cost of sustaining real estate can be expensive. Generally, homes don’t need a great deal of repairs carried out. However, there are times when you might be required to do major repairs on the property and this might send your budget into disarray.

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Your Questions About Invest In Gold And Silver

Paul asks…

Should we invest in gold and silver?

I don’t really get it. Basically what I’ve been hearing from people talking about investing is you should save up for gold and silver, because if we go in some sort of depression, one day it could be like $50,000(random number) an ounce… BUT… what good does it make, if that $50,000 is just going to be worth getting a piece of bread, if cash will be useless? Do they mean that we will pay for things directly with the gold and silver?

financi4 answers:

Silver holds a better value incase of economic collapse, Platnum even more valuable. But if we go in the bucket you got somthing that you can use to pay the next best country to start on. Word of advice Don’t invest buy it hide it in a safe place, you got somthing to fall back on incase of emergancy.

Richard asks…

what is the cash in your pocket worth?will gold and silver become currency in place of?

as we have [like usa]fiat currency,and have had for so long [worthless paper]supported by failing money markets that may shift to new terrirories, perhaps invest in gold/silver art and antique? for the walls may tumble down??? http://www.bbc-antiques.co.uk

financi4 answers:

Valid concern. With all the bailouts, borrowing and printing of money Obama is doing, he certainly will devalue our dollar. Hyper-inflation is a year or two away.

Joseph asks…

What might be the best gold and silver exchange agency if I was to invest in such precious metals.?

Recently I have been searching to find the best way to invest, which included silver and gold. Still, there are many gold and silver exchanges, excluding the U.S. Bullion Exchange, and I am just curious about any of these others that I have briefly looked at and many that I haven’t. If you have any answers please get back to me. If you have any other better suggestions in investing I am also listening.

financi4 answers:

Bullion is so last century. Open an online discount brokerage account and buy the exchange-traded funds that track the price of gold and/or silver. The symbols are GLD and SLV, and I believe both are in the StreetTracks family.

If you really know what you’re doing mining stocks are more profitable than raw metals.

Ken asks…

Would you invest in either Gold or Silver ETFs?

If you wanted to invest $10,000 in either a Gold ETF or a Silver ETF, which one would you choose and why?

financi4 answers:

GLD and SLV because they are among the biggest in size and low in annual management fee.

Donald asks…

Is it a good time to invest in gold and silver or should i wait for more time?

financi4 answers:

It will definitely come down so wait and watch you can get at lesser price than the current one so buy later and not now

Thomas asks…

Which one to invest on – Gold or Silver?

I would like to invest on either gold or silver. If so which is the good option? And also please suggest where can i buy it.. any suggested jewellery shops in Hyderabad, India?

How about purchasing gold coins in bank and resell the same in jewellery shops?

financi4 answers:

It’s best to split between gold and silver. Many people put half their money in each, but any combination is good, really.

Don’t invest in jewelery. You want to invest in only marked coins or bars. If it’s not marked with purity and weight, don’t buy it.

If you can’t find a local coin dealer, you can always order online. Some bullion dealers in the US will ship overseas. When it’s time to sell, almost any dealer will buy back the coins/bars they’ve previously sold, you just ship them back and receive a check.

Take a look at CoinInferno.com for dealer prices. I’d suggest looking at Krugerrand coins for gold investment, and generic Silver Rounds for silver investment.

It’d be a lot easier to give good suggestions if you lived in the US. Sorry I don’t know much about investing from an overseas perspective.

Oh, and if all else fails, you could try EBay. Just remember, only buy coins/bars marked with purity and weight.

Mark asks…

How can I invest in gold and silver? Stocks maybe?

Is goldworthfinancial.com a scam?
Yeah I though about that. I’m actually doing this so I can survive when the US dollar collapses.

financi4 answers:

I´ve been investing for more than 20 years and trading for almost 14, and I can tell you that if you want to make BIG and FAST profits, I recommend you trading rather than investing, trading can help you to go from rags to rich.
If you are investing, you must have already achieved some degree of financial success, long term stock investing and FOREX can help you to diversify your money and become much richer than you are today.

My experiences as a Nasdaq Market Maker, Head trader of several brokerage firms, and currently as a professional trader and private hedge fund manager, I can suggest you that:
We trade because we want quick, short term profits on a consistent basis. We want to cash flow the market. Milk it like a cow.

Make consistent, small, short term gains rather than trying to hit a home run on every trade. Don’t ever forget that.

Don’t marry a stock, marry the idea of making money trading stocks. That’s the only way to do it.

For me “All stocks are equally worthless”

I don’t hold on to any illusion that the stock market will continue to go up and provide a nice retirement for me.

I could care less which way the market goes. It’s irrelevant to me if the market goes higher, crashes or moves sideways for the next 50 years. I really could care less. Stocks are just four letters with two prices next to them that I use to make a living trading.

Trade ONLY when you have a clear, easy and identifiable advantage, because without a CLEAR EDGE your odds of success are NO better than a flip of a coin… That´s why so many new traders (and investors) lose money.

Take a look at any daily chart of any index or stock and you’ll probably see the most volatility and the biggest opportunity for profit during the first Hour of the stock market’s opening.

The popular thinking and conventional wisdom is that you should wait about an hour before you start trading.

But if you do, you’ll miss the big, fast moves that stocks make as all the amateurs let their emotions out through their online accounts, usually right after they read some news headline or hear Maria Bartiromo go off about a stock on CNBC.

It’s easy to see why trading the open is the market’s prime time for profiting from other online traders.

The market’s open is very volatile – that is the perfect environment for LARGE, FAST profits.

Learn to trade as a professional Market Maker, not as an emotionally driven amateur trader or investor with few thousand dollars in an account at Etrade.

There isn’t any other time during the day or any stock you can invest in, that can make you 1, 2, 3, 5, 7 or more points in minutes OTHER than during the first hour the stock market is open, that means: if you are buying or selling short a 1000 shares per transaction, you´ll make $1000,$2000,$3000,$5000 or $7000 Usd “IN MINUTES !!!” not in a day, not in a week, not in a month or in a year, in less than 60 minutes… That’s why I love trading the open so much.

I trade only when I have an edge and that means “only the first hour the market is open”.

If you are a beginning trader, you can give yourself an unfair advantage in the market trading this way.

I can carry on for hours on how to make money trading online, but if you ask me:

“What is your best advise?

I will say:

Give yourself a BIG favor and go to this “Top Secret” site and learn how to get by yourself the BEST stocks that will make the largest and fastest day trading profits you´ve ever seen.

Www.onehourtrading.com

After you review this site you won´t need any system, strategy, book, software, guru or mentor to tell you what to do, you will be able to profit HUGE every day.

Besides, you´ll learn:

• The right amount of money to start trading…
• The best Online broker out there…
• Learn how to enter and exit a trade in seconds making Huge profits…
• Make more money than most day traders simply by trading one hour a day!!!
• How to reduce stress, limit risk and stay disciplined like a Pro.
• The 4 basic rules you should know, that every successful trader know, and amateurs don´t even imagine.
• How to trade against the amateurs and avoid like the plague doing it against the professionals , and why this will put you ONE STEP AHEAD of all traders.
• What causes more devastating trading loses than any other factor… And… How to avoid this pitfall! (Even savvy traders often fall victim to this! )
• Not to spend most of your day in front of a computer dealing with complex charts, software or technical analysis.
• Learn how to read the market´s open to make a huge profit just a few minutes after the opening bell.

All this and a lot more…

Good luck and good trading,

John Fontaine

William asks…

Should I invest in the stock Market or just buy physical gold/silver based on the stock Market crashing soon?

Will the stock market crash like I’ve been hearing? Is precious metals the way based on the dollar is useless and we may be using gold/silver as currency? Is buying gold and silver better online or in the coin shops because coin shops charge too much over spot compared to online? Can the Gov confiscate gold again like in the last great depression? Your opinions on the status of the economy?

financi4 answers:

You are listening to uninformed alarmists. The US economy is steadily improving and the global economy is also showing signs of progress. There are huge numbers of Chinese and Indian’s rising middle class anxious to eat all that our huge efficient US agriculture economy can produce. GM now sells more cars outside the US than inside. IBM now derives about half of its revenue overseas. Over the next several decades, the global economy is likely to grow strongly and US corporations will as usual be leaders in serving people all over the world. We now have one of the worlds largest stores of cheap natural gas and recently our energy exports exceeded our imports. A chemical factory scheduled to build in Mexico, recently changed the plan and will build it in Texas because they will use a lot of natural gas and it is 30% cheaper in the US. I could go on and on, but there are lots of great things happening in the US and in the world that should propel growth dramatically. The media tends to focus on the negatives and interview the gloomy crowd most. The last 10 years in the stock market have been poor, leaving more bargains and value than we have seen in years. My advice is buy quality growing stocks in diversified vehicles like mutual funds and Exchange Traded Funds and then do not sell them during the down turns, but add if you can. Keep it up and you will be very well off someday.

John asks…

What is the best way to invest in silver?

I have heard numerous people say that investing in gold and silver will help protect me against the falling dollar. Are ETF’s or ETN’s a good path? Are there other options I don’t know about?

financi4 answers:

Best Way To Invest in Goldt’s super cheap. Gold is cheap, while stocks are expensiveGovernments will make our money worth less to pay off their record debts. Governments can print money to pay off their debts. But they can’t create gold. The supply of paper money can be infinite. But the supply of gold is extremely limited Gold should do well in major international conflictsGold should do well in extreme bear markets. Silver more than doubled in value from 1932 to 1936 during the Great Depression (the price of gold was fixed by the government Gold stock will rise during inflation… and during deflation. Investing in gold is good inflation protection… gold rises as the value of the dollar falls. But what many people don’t understand is that gold stocks will do even better during deflation, as the government lowers interest rates significantly and wildly prints money (creating inflation) to offset that deflation… leading to substantially higher gold prices.When you buy gold investments, you lower risk in your investment portfolioWhen you buy gold investments, you lower risk in your investment portfolio. In the past, gold has tended to do the opposite of stocks…it skyrocketed in the 1970s, when stocks did horribly. Then in the 1980s and 1990s, when stocks soared, gold lost over half its value. Now in the new millennium gold has soared while stocks are still below their year 2000 highs. Holding a portion of your portfolio in gold stock will smooth out your portfolio fluctuations.

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