@garyblack00 Gary.. You are not math-challenged. So, you can understand that $199 times x is slightly more than $99 times 2x.
2xthe take rate at less than half the price will not only not have any significant positive impact, it will have a small negative impact. Jeez!
@TroyTeslike Conjunction fallacy on display, LMAO!
People: even if you think the actual delivery is going to be >1.8M, the option to pick is >$1.77M, because, guess what, 1.8M is >1.77M
https://t.co/Fan6Tqqyy4
If you can't get this, I think I get why you buy $TSLA
@farzyness These are the companies that Warren regards to have simple and understandable business (Tesla has this), with reasonably clear future cash flows (Tesla has this), and with likeable management(Tesla doesn't have this)
@glenn22x @farzyness Warren explained several times that he has 3 criteria for deciding to invest: it should be a simple and understandable business (tick), reasonably confident in predicting future cash flows (tick), management not assholes (no tick)
@a_meta4@garyblack00 You didn't understand the point. 2.5k/car need to be spent only on the incremental demand created (assumed to be 20K cars for a total of $50M). 2k/car price cut need to be given to all buyers (all 420K buyers for a total of $840M)
@ICannot_Enough@bkchappy This math works only if the total fixed cost is more than the (current) total variable cost. I doubt that is the case, given raw materials and purchased parts + shipping and logistics are likely the bulk of the cost (compared to depreciation, labor and other fixed costs of sales)
@realMeetKevin 18% per quarter is 94% annualized, not 72%. It is not always "multiply by 4". Doesn't work for bigger % numbers (I see you make that mistake all the time). When a^4 is meaningfully bigger than 4a, it doesn't work