FUNDAMENTAL ANALYSIS

There are two types

 Quantitative Analysis.

Quantitative analysis (QA) is a technique that uses mathematical and statistical

modeling, measurement, and research to understand behavior. Quantitative
analysts represent a given reality in terms of a numerical value.

Examples of quantitative analysis include a company's financial data and marketing

returns with statistical data on demographics.

1. Balance sheet (Assets vs liabilities till company started as of now)

2. P&L Statement (for 1 year)
3. Cashflow Statement

 Qualitative Analysis.

Qualitative analysis uses subjective judgment based on "soft" or non-quantifiable data.

Qualitative analysis deals with intangible and inexact information that can be difficult to
collect and measure. Machines struggle to conduct qualitative analysis as intangibles can't
be defined by numeric values.

There are two types of expenses

 Capital expense

A capital expense (CapEx), on the other hand, is incurred to create a

benefit in the future. They are long-term in nature and are generally
used to acquire things like property, equipment, and technology.

 Revenue expense

Revenue expenditures are short-term expenses used in the current period or

typically within one year. Revenue expenditures include the expenses required to
meet the ongoing operational costs of running a business, and thus are essentially
the same as operating expenses (OPEX).

An operating expense (OpEx) is an expense required for the day-to-

day functioning of a business. This means a business incurs an
operating expense on a recurring basis. Operating expenses include
things like insurance, payroll, and marketing.