RE:RE:RE:Financial statementsHumm Boralis,
Break it down for you real simple ! Feel free to chime in or fill in the blanks .
Assets 0$
Minus
Liabilities (Millions of $ ? )
What you are left with is a mathamatical number . Its either positive ( above 0 ) Neutral ( 0 ) or Negative ( below 0 )
If the result of the above equation is in the Negative the company is considered insolvent. if such company has no manner of obtaining funds ( through sales or loans) to repay its debtors then it can be considered .... You guessed it ... Bankrupt !
Seeing as NXO themselves laid this out in their MD&A documents we can all agree that as of today , NXO has no Revenue source and as such can not repay its Debtors. What do we call that situation Class ? Yes ! NXO is BANKRUPT! Good Job Class !
Here is a simple version for the Special Needs group.
What is a simple definition of bankruptcy for a corporation?
What is corporate bankruptcy? Corporate bankruptcy is a legal proceeding where an incorporated entity (rather than a partnership or sole proprietorship) is unable to pay its debts, and file for bankruptcy.