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Technology Stocks : Network Associates (NET) -- Ignore unavailable to you. Want to Upgrade?


To: Just_Observing who wrote (4388)3/19/1999 12:51:00 PM
From: Chuzzlewit  Read Replies (1) | Respond to of 6021
 
Could someone tell me what's wrong with my analysis?

You need to figure the timing on receipt of license revenues from outfits like MSFT and DELL, both of which will pre-load the software. Dell's payables period runs almost 60 days.

You are also forgetting the physical presence of software in retail outlets. Retailers are often extended "dating", which means that their required payment periods may be long. Sixty to ninety days is not unusual in some businesses (although I have no idea of what it may be in retail software).

TTFN,
CTC