If you look at the accounting rules you will see how cash on the...

If you look at the accounting rules you will see how cash on the balance sheet is quiet different for education providers. They get money upfront but dont deliver the product then. Say I buy a new TV, I pay for it, and I get the tv, and the accounts will show a profit or loss and therefore surplus of cash. I am no accountant but think this is a very very rough explanation. However when I pay for my tuition, I pay up front and provide the cash but the product is not delivered at that same moment, it is delivered over the tuition period which could be a six months or a year etc, and in the case of foreign students I think it is for a longer period. So all I am saying is the cash on balance sheet is not available. It is there to provide the tuition ( or TVs) over the next six months or whatever time frame. So there will always be a lot of cash on hand. As I said happy to be corrected. cheers