SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : How high will Microsoft fly?
MSFT 480.82+0.6%3:59 PM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Paul Fiondella who wrote (8665)6/25/1998 1:43:00 PM
From: Wizard   of 74651
 
>>Everyone knows that the cost of producing those copies is minimal. If the expenses of development are already taken then apart from marketing and sales expenses isn't there the potential of adding a billion or so in net profits in the next two quarters?

Well that doesn't mean they stop R&D. They have new R&D projects which get expensed as incurred so you can't run it through the income statement like that. Moreover, Win98 replaces what would have been Win95 sales so its not all incremental. Then you have to tax the pretax income. Figure it runs through at the same margin as they are currently doing (with upside probable).
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext