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No shock that profits are failing when they are investing heavily
by hardware2win 2y ago
No shock that profits are failing when they are investing heavily
- FredPret 2y agoI'm not an accountant but they should be able to capitalize expenses incurred when it's an investment, ie, since it's not really a normal expense profit should not be affected. I'm not sure how that works with R&D engineering salaries - that might impact their profits even if it's an investment. I feel like a large technology company should spend a large but consistent amount of money on R&D - I don't like wild swings either way.
- maerF0x0 2y agoAlso not an accountant, but i believe you two are talking differently about gaap and nongaap profit. The latter can immediately write of R&D, where as GAAP has rules around deprecation of investments.