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Technology Stocks : FirstWave Technologies (FSTW)

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To: Oeconomicus who wrote (7326)12/28/2002 1:07:24 PM
From: TEDennis  Read Replies (1) of 9677
 
Bob: Hey, there, Mr. NumberCruncher ...

Here's something to occupy your free time.

Since we know there were 7 new contracts in the last quarter, and we know the amount of new license revenue, we should be able to compute the average license fee.

We can also compute the current number of customers by dividing the total maintenance fees by 18% of the average license fee. This would have to be done on an annual basis, though. Not quarterly. Maintenance fees are typically due and payable on the anniversary of the contract.

From that, we can determine ... well, heck. Who knows? Maybe we could use it for projections.

Regards,

TED
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