The margins aren't affected in the way you describe. The costs for the flash are not recognized in cost of goods sold until the sales are made and the corresponding revenues are recognized. Prior to that, you just have an effect on the balance sheet, not the income statement.
Quote:
Originally Posted by kresh
I wonder how much of a bonus for Apple's margins this prepaid memory amounts to.
If they took the accounting hit in 2006 for the purchase, then 2007, 2008, 2009 and 2010 manufacturing costs on paper for devices using these components will be less the cost of this prepaid amount.
Would this not make the margins on these products look better on paper than they really are?
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Really?
Edit: Apparently it's true.
Really?
Edit: Apparently it's true.
I can't imagine what this is all about, or why the mods haven't responded to our complaints.
I can't imagine what this is all about, or why the mods haven't responded to our complaints.
I would definatly download a Great A.... Novel from Melgross with his 13000+ posts!!!
Wich mods? don't you rule AI? "my big enjoy reading ya hahahaha...."
I can't imagine what this is all about, or why the mods haven't responded to our complaints.
Did anyone private message the mods or Kasper?
Did anyone private message the mods or Kasper?
I didn't, because I figured someone else would do it.
I didn't, because I figured someone else would do it.
Ah, the tragedy of the commons......
I suspect Apple would have no qualms about switching to AMD if Intel tried to screw them.
So they're not entirely tied to one vendor for microprocessors and chipsets.
Did anyone private message the mods or Kasper?
Since Kasper has been posting here, I assume he must be reading the posts.
I wonder how much of a bonus for Apple's margins this prepaid memory amounts to.
If they took the accounting hit in 2006 for the purchase, then 2007, 2008, 2009 and 2010 manufacturing costs on paper for devices using these components will be less the cost of this prepaid amount.
Would this not make the margins on these products look better on paper than they really are?