View Single Post
Old 05-30-2009, 08:50 PM   #1
Sloppy Joe
 
Sloppy Joe's Avatar
 
Drives: 2SS RJT
Join Date: Mar 2009
Location: Mexico, Missouri
Posts: 135
Hey Accountants! When does GM Recognize the Revenue on the Camaro?

Just wondering if GM recognizes the revenue when the Camaro is produced, when the car is shipped/invoiced or when it's delivered? I think it's when they invoice the dealer? If that's right, wouldn't it be in GMs best interest to produce as many cars as possible prior to bankruptcy and then hold off invoicing/shipping them until after they emerg from bankruptcy? If they invoice/ship after bankruptcy that revenue hits the bottom line of the new company, right? My thought is if they hold as many cars as possible and invoice/ship them all out as soon as they come out of bankruptcy it would huge and immediate revenue boost to the bottom line. This revenue injection shows that the "New" GM can be profitable right out of the gate.. and Wallstreet loves that. I could be dead wrong though, I'm certainly no Accountant.
__________________
2SS, RJT, Gray interior, 6 Speed Trans /w TAPshift, silver stripes and polished wheels
Sloppy Joe is offline   Reply With Quote