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Base the fine on revenue, measure the time needed to pay the fine in profits or cash flow. That would show some basic financial and accounting literacy, the bar
by hef19898 3y ago
Base the fine on revenue, measure the time needed to pay the fine in profits or cash flow. That would show some basic financial and accounting literacy, the bare minimum I ask for if you want me ro take an article about financials seriously.
- ethbr1 3y agoRevenue + payment deadline based on cash flow makes sense to me too. If we're really serious about materially-impactful fines, they need to impact more than one quarter. And conversely, companies need to be free to amortize payment in ways that hurt but don't cripple them. F.ex. if Alphabet and Meta's entire 2024 would be down because of fines, the market would presumably apply more pressure on their leadership.