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BMXI (Brookmount Explorations) Net-Net Working Capital : $-1.87 (As of Nov. 2009)


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What is Brookmount Explorations Net-Net Working Capital?

In calculating the Net-Net Working Capital (NNWC), Benjamin Graham assumed that a company's accounts receivable is only worth 75% its value, its inventory is only worth 50% of its value, but its liabilities have to be paid in full. In addition, Graham believed that preferred stock belongs on the liability side of the balance sheet, not as part of capital and surplus. This is a conservative way of estimating the company's value.

Brookmount Explorations's Net-Net Working Capital for the quarter that ended in Nov. 2009 was $-1.87.

The industry rank for Brookmount Explorations's Net-Net Working Capital or its related term are showing as below:

BMXI's Price-to-Net-Net-Working-Capital is not ranked *
in the Metals & Mining industry.
Industry Median: 5
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Brookmount Explorations Net-Net Working Capital Historical Data

The historical data trend for Brookmount Explorations's Net-Net Working Capital can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Brookmount Explorations Net-Net Working Capital Chart

Brookmount Explorations Annual Data
Trend Nov03 Nov04 Nov05 Nov06 Nov07 Nov08 Nov09
Net-Net Working Capital
Get a 7-Day Free Trial -0.48 -0.93 -1.37 -1.55 -1.87

Brookmount Explorations Semi-Annual Data
Nov03 Nov04 Nov05 Nov06 Nov07 Nov08 Nov09
Net-Net Working Capital Get a 7-Day Free Trial -0.48 -0.93 -1.37 -1.55 -1.87

Competitive Comparison of Brookmount Explorations's Net-Net Working Capital

For the Gold subindustry, Brookmount Explorations's Price-to-Net-Net-Working-Capital, along with its competitors' market caps and Price-to-Net-Net-Working-Capital data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Brookmount Explorations's Price-to-Net-Net-Working-Capital Distribution in the Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, Brookmount Explorations's Price-to-Net-Net-Working-Capital distribution charts can be found below:

* The bar in red indicates where Brookmount Explorations's Price-to-Net-Net-Working-Capital falls into.



Brookmount Explorations Net-Net Working Capital Calculation

Brookmount Explorations's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Nov. 2009 is calculated as

Net-Net Working Capital(A: Nov. 2009 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(0.022+0.75 * 0+0.5 * 0-0.785
-0-0)/0.40799
=-1.87

Brookmount Explorations's Net-Net Working Capital (NNWC) per share for the quarter that ended in Nov. 2009 is calculated as

Net-Net Working Capital(Q: Nov. 2009 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(0.022+0.75 * 0+0.5 * 0-0.785
-0-0)/0.40799
=-1.87

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In calculating the Net-Net Working Capital (NNWC), Benjamin Graham assumed that a company's accounts receivable is only worth 75% its value, its inventory is only worth 50% of its value, but its liabilities have to be paid in full.

In addition, Graham believed that preferred stock belongs on the liability side of the balance sheet, not as part of capital and surplus. In "Security Analysis", preferred stock is dubbed "an imperfect creditorship position" that is best placed on the balance sheet alongside funded debt.

This is a conservative way of estimating the company's value.


Brookmount Explorations  (OTCPK:BMXI) Net-Net Working Capital Explanation

One research study, covering the years 1970 through 1983 showed that portfolios picked at the beginning of each year, and held for one year, returned 29.4 percent, on average, over the 13-year period, compared to 11.5 percent for the S&P 500 Index. Other studies of Graham's strategy produced similar results.

Benjamin Graham looked for companies whose market values were less than two-thirds of their net-net value. They are collected under our Net-Net screener.


Brookmount Explorations Net-Net Working Capital Related Terms

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Brookmount Explorations Business Description

Traded in Other Exchanges
N/A
Address
1 East Liberty, Suite 600, Reno, NV, USA, 89501
Brookmount Explorations is a United States based operator of producing gold properties in the Republic of Indonesia. It operates two gold producing properties in volcanic hosted sediment within the tropical rain forest region of Sulawesi Province in north east Indonesia.
Executives
Vic Stilwell director 16 DOUGLAS WOODS PARK S.E., CALGARY A0 T2Z 2K6
David Dadon director, 10 percent owner, officer: Chairman & Secretary 717 JERVIS STREET SUITE 2402, VANCOUVER A1 V6E 4N5