Comment by philipallstar
2 days ago
> If I use cash to buy 1B dollars in Microsoft shares today, am I not worth a Billion dollars...?
No. It will be higher. Say you spend your money on shares advertised at different prices, buying the cheapest first, like this:
800000 shares at $500 $400,000,000
300000 shares at $750 $225,000,000
200000 shares at $1000 $200,000,000
100000 shares at $1250 $125,000,000
33333 shares at $1500 $ 50,000,000
Total number of shares: 1433333
Net worth (1433333 * $1500): $2,149,999,500
Your "net worth" is over double the money you just spent.
That's why net worth is stupid.
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