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I'd be surprised if GPUs and CPUs were ever shipped by sea instead of air. 6-8 weeks at sea Vs 12 hrs flight is quite serious deprecation, even if you're not mi
by martinald 9y ago
I'd be surprised if GPUs and CPUs were ever shipped by sea instead of air. 6-8 weeks at sea Vs 12 hrs flight is quite serious deprecation, even if you're not mining them.
- jdavis703 9y agoIn GAAP you don't have to do calendar time-based depreciation (assuming you're dealing with something that doesn't have a finite life, e.g. nuclear fuel rods). There's also usage based depreciation, so, for example, you only depreciate the cost of the GPU while the computer is powered-on or the cost of a truck based on how many miles it's gone.
- kgwgk 9y agoI think he's concerned about the opportunity cost, not accounting issues.
- zdkl 9y agoGAAP or not if I have $BIGINT tied up on a boat haul (there's a joke about liquidity in here somewhere) with no returns while the operational cost of the task to be done rises, there's a cost.
- caf 9y agoDepreciation is probably not a concern, but inventory management sure would be. 6-8 weeks shipping implies you have 6-8 weeks worth of sales at sea at any one time, which is potentially a lot of money to be tied up.
- umanwizard 9y agoI think the point was that due to upgrade cycles being what they are, a given model of graphics card will be less valuable in actual reality after a few months at sea; not just less valuable according to accounting.
- martinald 9y agoYes exactly, say you are on a 12month refresh cycle of your GPUs at Nvidia/AMD - 2 months is nearly 1/6th of that. AMD or NVidia could 1up them by air shipping, which is very low cost considering the value per kg of the shipment.
- deleted 9y ago[deleted]