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Technology Stocks : VALENCE TECHNOLOGY (VLNC)
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To: Zeev Hed who wrote (6312)12/27/1998 12:26:00 PM
From: Tickertype  Read Replies (1) of 27311
 
<<Furthermore, if the company had an inventory of batteries, the balance sheet would have shown some inventory under assets, but no such inventory exists. What gives?>>

Would this really be the case? Making the batteries would result in an equal reduction in raw material inventory. The inventory in effect was just transferred from one part of the building to another. Unless we count the value-added effect of putting it through the assembly line, which may be small compared to the material value.

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