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Technology Stocks : VALENCE TECHNOLOGY (VLNC)

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To: Tickertype who wrote (6315)12/27/1998 12:40:00 PM
From: Zeev Hed  Read Replies (3) of 27311
 
Tickertype, the 10-Q "assets" side has no inventory, not even materials, indicating that all materials are expensed as R&D expenses. It could be an "accounting" glitch, but don't you think we get too many glitches already in the reporting?

Typical financial reporting will report under "assets" all inventories, and then later in the 10Q they would report the composition of the inventory as "Materials", "Work In Progress", and "Finished Goods". In some cases they might add "Customer samples" or "Demo Equipment" if these are a substantial part of the Inventory, in most cases these will be simply classified as finished goods.

Zeev
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