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Politics : Ask Michael Burke
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To: Eggolas Moria who wrote (48258)2/22/1999 6:13:00 PM
From: Knighty Tin  Read Replies (2) of 132070
 
Gary, Let me jump in on this one. The average sales price is simply revenues divided by units. The Dept. of Commerce says that ASPS of computers were down 26% in 1998 from 1997. Of course, that is all computers, not just pcs.

Also, incentives to the channel to accept a stuff, known outside the industry as a rebate, do not reduce ASPs. So, if Compaq sells a box to Ingram for $1000 and then offers a rebate of $200, the revenues and the ASPs show a price of $1000, while we know it was $800.

Hope this helps.

MB
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