this post was submitted on 14 Nov 2024
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Electric Vehicles
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Electric Vehicles are a key part of our tomorrow and how we get there. If we can get all the fossil fuel vehicles off our roads, out of our seas and out of our skies, we'll have a much better environment. This community is where we discuss the various different vehicles and news stories regarding electric transportation.
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A high depreciation cost is a benefit to the company, since it can otherwise offset income earned elsewhere in the company, thereby increasing profits over what they would have otherwise been.
They're selling these for another reason than depreciation, but the comments here already seem to get that.
High depreciation is only valuable if there's no additional cost associated with them. Teslas have high repair costs (and opportunity costs as it sits idle waiting for the dealership to get to it) and, since they're selling them, there's now a replacement cost.
I might be wrong but that sounds like the broken window fallacy.