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Library of Ideas

crucible of experience
Crucible of Experience

stairway to a fortune
Stairway to a Fortune

Treasury of Tales
Treasury of Tales

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Vault of Old Videos

Portfolio of Motivation
Portfolio of Motivation

Table of Negotiation
Table of Negotiation


Additional articles:

Get Rich After Retirement

Never Break the Copper Rule!

Barter Page

Step Thirty Six to a Fortune:

Image of Tumi-Ariba backpack

 

Experiment Title

Three Bags full are Best of All

Vision

This is the third and final part of the three part deal involving backpacks from a combined risk auction.

Review:  I won an auction of 4 bags.  One of them was a very nice leather satchel which I intend to use for my laptop.  I sold two; the last bag I will sell now.  I plan to make all my investment back plus a profit on these bags and keep the 4th bag free of expense.  This is how a capitalist can get richer by spending more money. I believe this is possible so long as I can buy for less than I can sell.   

 

Objective

The thirty-sixth step in our business plan overview looks for an investment of up to $23.20 seeking $25.52 or more.  I intend to sell the Ariba-Tumi backpack , the last of this series of investments from the backpack auction. 

From $266.73 in accumulated capital, I will risk up to $23.20 fully expecting to grow that to $25.52 or greater.  This would come with a gross profit of $2.32 or more. Remember from the last two steps, in addition to the money profit, I'll be getting the leather satchel as a bonus.

 

Step 36

Starting capital                                    $266.73

Planned investment     risk                      $23.20

Investment receipt goal                           $25.52 or better

 

Hypothesis

If I structure it right by buying for less than I can sell, I might be able to spend money on inventory and something that I want, sell the inventory, keep the item I want and still add to my capital reserve.

 

 

Procedure

 

I listed The Tumi-Ariba bag on ebay.  It sold for $11.00 plus $5.58 for postage and handling and .91 for sales tax. The total receipt was $17.49.  I made about $1.80.

 

Results

 

gross profit =       $1.80

 

Questions

Do I need to make long term adjustments to my course of action to achieve my ultimate outcome of two million dollars?   I've noticed my reserve is not building as it was on earlier deals.  I should try to increase the size of my profits to get my reserve growing faster than my scheduled amounts.  The excess is insurance against the inevitable losses to come as the stakes get higher.

 

Conclusion or Final Result

 

I started with $266.73 in capital. I was looking to risk $23.20 looking for $25.52 or more.  After the sale before tax and charitable deductions I had  $1.80 to add to my treasury.

35% tax would leave $1.17

Contributions of 10% $.12 thins my profit to $1.05

 

We have   $267.78  moving forward to the next step

 

 

Next Step 37