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Thread: Bakery: Increase in Prices

  1. #721
    Executive Chef
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    LynnStorm8 Huh?

    In your example, you are still making a profit, it's just $5 less. It's not a 'loss'. A loss would be if the handbag costs you $6 and you now are now selling it for $5. That's a $1 loss.

    A profit is a profit no matter what way you look at it - whether it's 5 ot 10 or 1 coin. If something costs you 1 coin to make, and you make 2 coins after selling it, that's still a 1 coin profit.

    Are you confusing profit with revenue? Because they are different things....

  2. #722
    Nightclub Owner
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    Quote Originally Posted by filochick1982 View Post
    They don't go away if you need special appliances to bake them and you have the appliances already.
    True, so I guess we better hope that all possible Halloween/Thanksgiving/Xmas/NewYears recipes are on new appliances that don't cost an arm and a leg to purchase in order to master them at our own leisure. We can't win here. New Appliance = mega cost to purchase and mega cost to bake. Old Appliance = mega cost to bake and then gets yanked due to seasonal.

    Makes me want to play, that scenario does.

  3. #723
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    All I am saying is that people are confusing CASHFLOW with profit.

    Learn the difference people!



    You are not losing money on this game. Period.

    Yes, you are not making the money faster than you can bake the food. However, that affect your cashflow. From a profit perspective, you don't lose money. From a cashflow perspective, yes, you're in the red.

    I was simply trying to correct the terminology people here are using. I'm no accountant but I know the difference between cashflow and profit, loss, and revenue.

  4. #724
    Admin Community Manager [S8] Elsa's Avatar
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    Quote Originally Posted by rooncake View Post
    @ PonyRoar - thanks for at least commenting something. I have a question for you, I get that the feedback is being passed on to the team but do you know if there are any discussions happening at all in regards to the change? Or is this considered a closed-issue that has no hope or very little chance of being addressed?
    I'll ask about this and get back to you.

  5. #725
    You ARE LOSING COIN!!

    If you HAVE 1,000,000 at the beginning of the day, spend 50,000 baking during the day, and sell 30,000 during the day, you have 980,000 at the end of the day.

    YOU HAVE A CASHFLOW PROBLEM IF YOU KEEP DOING THIS!!

    And you do not make a "profit" til you sell the food.

    Revenue less cost of goods sold = gross profit.

    Revenue of 20,000 in the day - if it cost you 5,000 to make THOSE goods, then you have a profit of 15,000.

    However, the value (at cost) of your STOCK ON HAND has had a net increase of 45,000 coins. This is because you have spent 50,000 to bake, but you have only sold 5,000 (at cost) of your stock.

    So, your STOCK ON HAND increases, but your COINS go down.

    BS is a cash economy. You may have 50,000,000 worth of stock on your floor (at cost), but that is an ASSET and until you can liquidate that asset, it does not help your cash flow. Players find it hard to liquidate the stock because there are not enough customers to buy it.

  6. #726
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    Cash flow, profit, whatever. It's all semantics. The point is, ultimately, players will find that over time their money is going to diminish over time if they continue to cook at these inflated prices.

  7. #727
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    Quote Originally Posted by filochick1982 View Post
    All I am saying is that people are confusing CASHFLOW with profit.

    Learn the difference people!



    You are not losing money on this game. Period.

    Yes, you are not making the money faster than you can bake the food. However, that affect your cashflow. From a profit perspective, you don't lose money. From a cashflow perspective, yes, you're in the red.

    I was simply trying to correct the terminology people here are using. I'm no accountant but I know the difference between cashflow and profit, loss, and revenue.
    BTW, this is incredibly patronizing.

    Most of us here in these 73 pages apparently
    are ignorant about the difference between cashflow and profit, loss, and revenue.

    Thank you =_=

  8. #728
    Filo, I AM an accountant.

    You are technically correct, but there is no need to baffle everybody with the technical terms.

    Bottom line is, you are losing out on cashflow. TL have made it impossible to continue baking as you did before, and maintain cashflow.

    This means that the majority of people playing the game now have to change their strategy altogether to continue to gain cash.

    They must bake, then stop baking and wait forever.

    This is very unattractive to most people, which is why they are getting out.

  9. #729
    Quote Originally Posted by marrrina View Post
    cash flow, profit, whatever. It's all semantics. The point is, ultimately, players will find that over time their money is going to diminish over time if they continue to cook at these inflated prices.
    yess!!!!!!!

  10. #730
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    Yes, if you re-read my previous post, I believe I highlighted that there was a decrease in profit. It's STILL a profit - it's just less. There's a big difference in a making LESS profit and actually operating at a LOSS, which is completely 0 profit.

    Quote Originally Posted by LynnStorm8 View Post
    OK. I'm being corrected on accounting terms then.
    I'm no accountant either, but I DO know the difference.

    Allow me to recap then!

    Original Profit = $10
    Revised Profit = $5
    DECREASED PROFIT = $5 (Original Profit $10 minus Revised Profit $5).

    We are NOW complaining about DECREASED PROFIT,
    not Revenue, not Cashflow.

    Regardless of your Cashflow,
    at the end of the day, Profit has decreased.

    Did that get through to you?

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