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Technology Stocks : Cisco Systems, Inc. (CSCO)
CSCO 72.10+1.4%3:59 PM EST

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To: Dave who wrote (51607)4/17/2001 10:35:34 AM
From: Stock Farmer  Read Replies (1) of 77397
 
Dave: re. inventory valuation

"So, I assume that the fudge factor, or what u call "whatdoyouwantittobe", includes labor + overhead, correct? "

That is my amateur understanding as to how it is rationalized. But I think there's more to it than that. When you buy a house, you might need to put a "value" on all of the appliances inside for tax purposes. You also need to put a value on them for insurance purposes. One might be higher than the other. What value you settle on depends on the whatdoyouwantittobe factor.

Not unlike a lot of the discussion on this board with respect to the "fair" price of CSCO.

John.
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