whats next?, page-59

"huge admin costs = lawyers for sure"

Coal King,


If we are to be talking about mining, engineering, and resources in general, I am the first to admit that I don't know enough about it. Hence why I try my hardest to stay clear of those things/issues.

But, when it comes to number crunching, that is when I am prepared to go out on a limb and call a spade a spade.

Now Coal King, if we are to allow for the Legal costs to be classified as Administrative expenses in a quarterly report as you have explained/suggested, you won't have an argument with me as it is well possible that, that might be the case.

But, now the numbers are coming back to me once again, and I came up with the following scenario which only throw some mud into that idea.

Lets allow say $1,000.00 per hour for a Lawyer, (which IMO is way out of the question), that Lawyer would have to bill us for 1,000 hours, (Yes 1,000 hours not just a few hours), to get paid $1,000,000.00 dollars in total.

Now even if the Lawyer was working FULL TIME for 40 hours per week, in the 12 or 13 weeks that a quarterly report entails, the total amount of hours spent by the Lawyer working full time for us, and none of his/hers other clients, would come up to a maximum of 480 or 520 hours in total.

Multiplying those hours for the $1,000.00 dollars per hour, that would only amount to about $500,000.00 dollars max.
But then, do Lawyers charge $1,000.00 dollars per hour.??

So, where has all the other money being allocated to when, in GBG example that I have put forward to the forum, we have spent three times as much in Admin. expenses than what they did.??

As such, I am of the strong belief that, IMO, those costs should be better explained within those reports, especially when we are nothing more that a penny stock company fighting for survival.

I am not suggesting that anything is untoward with the way the report was presented and to what it entails, all I am saying, is that IMO those costs, especially when they reach those levels for a company the size of ours, should be better explained.
A reference # beside those amount, to an attachment at the bottom of the report explaining what it is, would be more acceptable to me and others here. For, if that was the case, NONE OF THESE TALKS WOULD BE NECESSARY.!!

Maybe someone should ask that question at the next AGM because, I very much doubt that asking them for an explanation via an E-mail, would get any response.

Good luck all.

Buddy134