Somebody Check My Math

6 September 2002


How to Get Rich: ”A young man asked an old rich man how he made his money. The old guy fingered his worsted wool vest and said, ”Well, son, it was 1932. The depth of the Great Depression. I was down to my last nickel. I invested that nickel in an apple. I spent the entire day polishing the apple and, at the end of the day, I sold the apple for ten cents. The next morning, I invested those ten cents in two apples. I spent the entire day polishing them and sold them at 5 pm for 20 cents. I continued this system for a month, by the end of which I’d accumulated a fortune of $1.37. Then my wife’s father died and left us two million dollars.” [From the Desktop of Dane Carlson]

I could be wrong, but assuming this guy could keep investing his daily sales in new product for 30 days and assuming prices and costs remained steady and assuming he didn’t have to buy a fleet of trucks and apple polishers, he’d have had $26,843,545.60 at the end of that 30th day. Have I missed something?
Hey, but that wasn’t why Dane pointed us to this.

Filed under: