China Crescent Ent. Inc (fka CCTR)

[eddy2]

They took on anormas debt to build out inventory plus issuing credit ie: receivables. Receivables is a double edge sword. They carry more risk then debt cause they relinquish control too a third party adding additional costs as well in transportation and services plus warranty for the product and services they relinquished too the customer. It’s all intrinsic liability that’s not on the books but represented in there market evaluation given them.

The spread between the outstanding shares value in relationship too assets and there accumulated debt is the intrinsic value.

Intrinsic value is the equity holders debt. The common share holders debt is the tax credit on the intrinsic value. This is all before any positive revenue is calculated minus redistribution of capital back into both deprecated assets , debt and the intrinsic assets I just mentioned.

Growth and debt holds a great amount of risk. It’s all depends how much your wanting to pay to purchase that risk that creates the market volatility we are seeing today.