No .. you can not declare it as revenue just because you received the cash, it remains as "Revenue received in Advance" which is a liability. If you guys are right, GXY have called it a "Prepayment".
Not trying to get into a little argument with you all, but you should at least have some accounting/financial knowledge if you're going to analyse the company's financial reports and make investment decisions on them.
The example you have given (when you declare the cash you received as your assessable income in the same period you received it), is called cash accounting which is acceptable if you're a small business. Just so you know, GXY is not a small business, and therefore accounts on an accruals basis.
But come on @Cadel, its clear you don't get it, but you don't have to get worked up. Hope your 10 year old doesn't grow up to be as ignorant as you
If you're talking about the cash flow statement though, it doesn't focus on revenue and expenses, and therefore timing is not important. It's just a statement of your cash inflows and outflows for the period. This is where all this confusion came from.
GXY Price at posting:
$1.76 Sentiment: None Disclosure: Not Held
