Personal income tax rates:
Standard deduction up from 50K to 75K
Tax rate slabs changed:
0-3L: nil
3-7L: 5%
7-10L: 10%
10-12: 15%
12-15L: 20%
15L+: 30%
There are two types of Jewellery companies:-
1. Those which hedge their inventory (Gold), and have lesser volatile P&L Statement.
2. Which keep part of the inventory unhedged, and thus display extremely volatile Quarterly results.
Number 1 performs better over the long term as owners are focused more on selling more units (volume) & more stores.
Number 2, leads to speculation on gold prices in this quarter or the next.
Understand business models folks!
Them on day 1:
Terrible idea, play it safe.
Them on day 30:
See it’s not working, told you.
Them on day 300:
I mean I guess it’s doing ok, still too much risk.
Them on day 1,000:
What’s your secret can you teach me?
FOCUS!
KEEP GOING! 🤝