Profit / ROI Manipulation: Depreciation

 

Reading financial statements is sometime, unreliable due to the fact that everybody could choose what they want to speak and things that people would like to listen, such as Cash Flow, Return of Investment, Dividends, profit, profit margin and never "Depreciation", as it seems been covered.


Depreciation normally points to the decrease in value of an asset. Whenever we talk about cash flow, "depreciation" is out of the picture and so with the maintenance of such assets that comes with it, not forgetting inflation hits up to destroy some of the profit margin.


Therefore knowing what is a business would consists of, such as the more fixed assets you are having, the more upkeep, the more new machine to consider in the next 5 years, and the more spending to plan.

The more spending = profit is taken out.

This stressful situations mostly could be found in any industry particularly in the Franchising Industry.

阅读财务报表在某个时候,是不可靠的。事实上,每个人都可以选择他们想要说和人们却选择喜欢听的事物,如现金流转,投资回报率,股息,利润,利润率而永远不会提出折旧”这事项,因为它似乎是被包含在内。

折旧通常指的是资产价值的减少。每当我们谈论的现金流,折旧与维护资产值都没提到,也不提通胀率逐年摧毁一部分的利润率。

因此晓得一个怎样的企业组成,如您有较多的固定的资产,须更多的保养,更考虑在未来5年的新机,和会有更多的支出计划。

而更多的支出=利润被用了。


紧张的情况下,多数每种行业都有特别是在特许经营行业

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