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Technology Stocks : Advanced Micro Devices - Moderated (AMD)
AMD 207.67+2.2%Jan 12 3:59 PM EST

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To: TGPTNDR who wrote (92345)1/16/2003 1:23:17 PM
From: Joe NYCRead Replies (1) of 275872
 
tgp,

But, since you brought up another question, when does Account Receivable become revenue?

I think the first question is what is revenue and how it is recognized. Every company has its own method, and I doubt Intel's and AMD's methods differ by much.

The second question is the relation between Account Receivable and Revenue. Once revenue is recognized (based on the method the company uses) it becomes receivable, until the customer pays the bill when it becomes cash. There is no trade-off or shifting between revenue and AR. Only between AR and cash, depending on how customers pay, and what terms of payment Intel gives their customers.

Joe
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