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Crores can move through a company's bank account in a year without a rupee of it belonging to the company. There is an accounting rule that decides which is which, and knowing it will stop you mistaking a big number for a big business.

Some companies are paid by their customers whether or not those customers take delivery. It is the closest thing in business to a salary. But a promise is only worth as much as the person who made it, and there are four questions that tell you whether this one is worth anything at all.

Some of India’s largest listed companies are not allowed to earn more than a fixed return on the money their owners put in. That ceiling sounds like bad news. Understanding exactly how it is calculated tells you what kind of business you are really looking at — and the three ways the promise quietly fails.

Some companies add a hundred outlets in a year without building a single one of them. Who pays for those shops, and what the company keeps in return, tells you a great deal about the quality of the business.