Figuring out Receivables, Trading Dividends and Profiting from Splits

First up this week is Anne Stirlin, who writes: "Is it possible for a nonprofessional to gain access to info like you often present, such as receivables not being billed in a timely fashion, delays in payment, etc.? Does a company put this in the 10-Q or elsewhere?"

Nope, you don't think a company would do that, do you? That would make it too easy to spot when they're stuffing the distribution channel or getting customers to take more product than they might ordinarily want, by letting them take their time to pay.

One way to determine if the company is stretching is to check the receivable turnover rate. This tells how fast a company collects its money. Get your calculator and divide total annual sales by the average of the most recent two years' accounts receivable. Thirty days is normal, but it really varies by industry, so be sure to check competitors. ...