Its hard to get a read on fixed vs variable costs. We need a few quarters where we have consistent % increases in sales to work it out. Even now it will change again e.g. in Australia we need 10% of stock waiting at customs at all times. As soon as its cleared or about to be cleared, the next shipment leaves from Fiji.
Maybe your right, it might be a little lower due to inventory held, but I was curious as to how @thecore got his $2.5 to $1 from the numbers in the quarterly. If I was to ask him to forecast inventory held into the numbers, well lets just say I would have better luck getting a coherent response from my 8yo.
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- Ann: Quarterly Activities/Appendix 4C Cash Flow Report
Ann: Quarterly Activities/Appendix 4C Cash Flow Report, page-27
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