AI
| Followers | 21 |
| Posts | 2227 |
| Boards Moderated | 0 |
| Alias Born | 06/08/2009 |
Tuesday, January 11, 2011 9:33:11 AM
LPH - while madly Googling how a weighted average basis is calculated my impression would be that the gross margin should have expanded with the price rise.
I'm thinking: the average cost price would slowly increase as more expensive fuel was bought and added into the cheaper inventory. However, the revenue should have immediately jumped 3% when the price rise happened. Sooooo Gross margin up?
Are you allowed to ask about the general effects of gross margin on price rise? And why the gross margin was 20% in Oct and Nov? Or is that a little to material?
rich
I'm thinking: the average cost price would slowly increase as more expensive fuel was bought and added into the cheaper inventory. However, the revenue should have immediately jumped 3% when the price rise happened. Sooooo Gross margin up?
Are you allowed to ask about the general effects of gross margin on price rise? And why the gross margin was 20% in Oct and Nov? Or is that a little to material?
rich
Discover What Traders Are Watching
Explore small cap ideas before they hit the headlines.
