Bottom line - if you're shooting your kids at birthday parties and Christmas it
would be difficult to justify !
...Wayne
> Moose <olymoose@xxxxxxxxx> wrote:
>
> AS wrote:
> > http://www.calumetphoto.com/item/HA1503/?a=CM01
> >
> > Price of a new small car!!
> >
> Oddly enough, businesses buy all sizes and sorts of vehicles all the
> time. Equipment is evaluated on a cost-benefit basis. If the additional
> income and/or cost savings exceed the cost, the purchase is justified.
>
> Capable manager/owners make analyses that work out more often than not
> and stay in business.
> > After they get "out-dated" - what happens?
> >
> With any luck, they have more than paid for themselves and the operating
>
> and maintenance costs. From an accounting standpoint, they have been
> depreciated. Again, with competent management, the life for book
> depreciation purposes (which may vary from tax) has approximated actual
> useful life, and it is sold or dumped with little effect on the books.
>
> Obsolescence for a business is based on the ability to get the job done,
>
> not what's latest. So many pieces of equipment in many businesses are
> productive long after they are out-dated and written off. Some can be
> extraordinarily profitable at that point.
>
> I suppose you would have been shocked to hear what a large company I
> worked for paid for a custom overhead, 4x5 copy camera over 20 feet
> long, camera room, darkroom, custom designed giant rear projection
> display system and the large amount of space and remodeling to
> accommodate all this stuff. Then they liked it so much that they bought
> and installed about 20 of the room size viewers in Division offices.
> Monthly operating costs were well above the cost of this little camera
> whose price shocks you.
>
> When the way that part of the business operated changed and technology
> marched on, all that stuff was dumped. Seemed a shame to me, as I had
> conceived and directed its creation, but it had done its job well for
> maybe 15 years. From an accounting standpoint, it all had zero book
> value by then, my primary operator was able to retire and we found
> another job for his assistant. La, la, la, la, life goes on.
>
> You did say "seriously", no?
>
> Moose
>
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Wayne Harridge
http://lrh.structuregraphs.com
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