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Technology Stocks : Amazon.com, Inc. (AMZN)

AMZN 232.79

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12:42 PM EST

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To: Oeconomicus who wrote (145465)	8/14/2002 11:16:01 AM
From: GST	Read Replies (1) of 164684

It is just so simple: Options are compensation. Compensation is an expense. Expenses belong on the income statement. The expense of an option is called the premium. The premium is what needs to be expensed on the income statement. That is not the case now. Premiums are not now used to calculate options expense. The premium can be easily calculated once a formula is agreed upon -- it is the task of the new accounting board to oversee the process of developing the formula. There is nothing complicated about ANY of this Bob.

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