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Aberdeen Development Capital (LSE:AVC) Accounts Receivable : £0.00 Mil (As of Nov. 2011)


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What is Aberdeen Development Capital Accounts Receivable?

Accounts Receivable are created when a customer has received a product but has not yet paid for that product. Aberdeen Development Capital's accounts receivables for the quarter that ended in Nov. 2011 was £0.00 Mil.

Accounts receivable can be measured by Days Sales Outstanding.

In Ben Graham's calculation of Net-Net Working Capital, accounts receivable are only considered to be worth 75% of book value. Aberdeen Development Capital's Net-Net Working Capital per share for the quarter that ended in Nov. 2011 was £-0.10.


Aberdeen Development Capital Accounts Receivable Historical Data

The historical data trend for Aberdeen Development Capital's Accounts Receivable can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

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Aberdeen Development Capital Accounts Receivable Chart

Aberdeen Development Capital Annual Data
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Aberdeen Development Capital Quarterly Data
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Aberdeen Development Capital Accounts Receivable Calculation

Accounts Receivable is money owed to a business by customers and shown on its Balance Sheet as an asset.


Aberdeen Development Capital Accounts Receivable Explanation

1. Accounts Receivable are created when a customer has received a product but has not yet paid for that product. Days Sales Outstanding measures of the average number of days that a company takes to collect revenue after a sale has been made. It is a financial ratio that illustrates how well a company's accounts receivables are being managed.

Aberdeen Development Capital's Days Sales Outstanding for the quarter that ended in Nov. 2011 is calculated as:

2. In Ben Graham's calculation of Net-Net Working Capital (NNWC), Aberdeen Development Capital's accounts receivable are only considered to be worth 75% of book value:

Aberdeen Development Capital's Net-Net Working Capital Per Share for the quarter that ended in Nov. 2011 is calculated as:

Net-Net Working Capital Per Share
=(Cash And Cash Equivalents+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(0+0.75 * 0+0.5 * 0-3.61
-0-0)/35.719
=-0.10

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Net receivables tells us a great deal about the different competitors in the same industry. In competitive industries, some attempt to gain advantage by offering better credit terms, causing increase in sales and receivables.

If company consistently shows lower % Net receivables to gross sales than competitors, then it usually has some kind of competitive advantage which requires further digging.

Average Days Sales Outstanding is a good indicator for measuring a company's sales channel and customers. A company may book great revenue and earnings growth but never receive payment from their customers. This may force a write-off in the future and depress future earnings.


Aberdeen Development Capital Accounts Receivable Related Terms

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Aberdeen Development Capital (LSE:AVC) Business Description

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Aberdeen Development Capital PLC is an investment trust. Its investment objective is to conduct an orderly realisation of the assets of the company, to be effected in a manner which maximizes value for ordinary shareholders. Its assets are invested in a diversified portfolio of unlisted securities spread across a range of industries and regions within the United Kingdom.

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