4 ms·
Spend is loss. If they lost $1 for every $1 of revenue, they’d be breaking even. But they aren’t. They‘d have to double their revenue just to break even. So ye
by bart_spoon 4y ago
Spend is loss. If they lost $1 for every $1 of revenue, they’d be breaking even. But they aren’t. They‘d have to double their revenue just to break even.
So yes, they lose $2 for every $1 earned.
- x-complexity 4y ago> Spend is loss. Incorrect from a definition perspective: spend = expenditure loss = revenue - expenditure, where expenditure > revenue If I spent $10 to make & market a fancy x-mas box, but only sold it for $5, I didn't lose $10. I lost $5 ($5 - $10 = -$5). To get to a net income loss of $550 mil from a revenue of $590 mil: Net income = Revenue - expenditure -550 mil = 590 mil - expenditure expenditure = 590 mil + 550 mil = 1.14 bil The initial ratio from jsnell is correct: They spent $2 to bring in $1. They lost $1 to expenses to bring in $1.