Write Downs and reissuing capital
With all the huzzle buzzle in the market today, we see a lot of write downs being made.
I am not quite sure how is that taken care of in the accounting system.
I think( not quite sure) it is treated as an expense in the income statement, please correct me if i am wrong, with the write down being made i want to know the result on the companies books of accounts.
And to deal with this companies are issuing more capital today, how does that impact the companies reputation and outlook financially.
i would like to see different takes on that.
regards
It is a contra-revenue item. You are marking to market the value of the loans.
Either you sling crack rock or you got a wicked jump shot
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