Re:Microsoft announces quarterly dividend increase and share...
by gohrt on Tuesday September 17, 2013 @07:39PM
(#6402580)
Why is 'revenue' the proper denominator, and not 'earnings' ?
Sure, if revenue hypothetically vanished, cash could cover it, but a lot of revenue is tied to expenses ("cost of goods sold" in the retail world), so if revenue dropped, expenses would as well.
Sure, if revenue hypothetically vanished, cash could cover it, but a lot of revenue is tied to expenses ("cost of goods sold" in the retail world), so if revenue dropped, expenses would as well.