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Technology Stocks : Egghead Computer (EGGS) -- Ignore unavailable to you. Want to Upgrade?


To: trouthead who wrote (6344)1/27/1999 1:22:00 PM
From: Anaxagoras  Respond to of 8307
 
Hi ya, jb.

<<Sorry in advance for the dumb question.... >>

Not a dumb question at all. Never stand there and let yourself get snowed. See this:
Message 7511087

In simplified form, DSO's tell you how many days of sales are sitting there uncollected in the accounts receivable column; the fewer the better. Cash is king.

On a similar theme, their days of COGS in accounts payable went down as well- I would have preferred that to go up- ideally, I want them to wait longer befrore they pay their creditors. So, within certain bounds, the fewer the DSOs the better, and the greater the "days in accounts payable", the better.

Anaxagoras (who is by no means an expert in such things, just has a slim grasp of the basics)