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Unresolved
Cost overview chassis

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VIP Audi Motorsport medal 5740
7 days ago Translate
Hi everyone, can someone explain how this works?

I'm a chassis supplier with 5 customers.

My delivery costs per customer per race are $300,000. With 5 customers, that's a total loss of approximately -$1.6 million.

Customers pay $800,000 per chassis per race. With 5 customers, that should be $4 million.

And at the end of the day, $4 million in revenue - $1.6 million in expenses.

Shouldn't I be making a profit of $2.4 million?

And I'm making a loss of $1.6 million every day with 5 customers and chassis.

Or am I misunderstanding something?

If someone can explain this,

Thanks in advance.
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Frank Thomas medal 5046 Moderator
7 days ago
Your given costs are not your total costs building and delivering the chassis. It's the part of the costs your team shoulders to have customers to gather more data. The numbers are a bit arbitrary as they are driven by balancing, like those 80% of engine price increase going *poof*. So it's best seeing it as the iGP regulatory board setting those things and taking a 'little' share so they can get finally that Hipton Mt. Everest Superior Resort built they really wish they could hold an annual board meeting in (or whatever reason you come up where money tends to vanish to with this sort of organisations), plus taxes and stuff perhaps.
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Slo Bro medal 5428
7 days ago

Frank
Your given costs are not your total costs building and delivering the chassis. It's the part of the costs your team shoulders to have customers to gather more data. The numbers are a bit arbitrary as they are driven by balancing, like those 80% of engine price increase going *poof*. So it's best seeing it as the iGP regulatory board setting those things and taking a 'little' share so they can get finally that Hipton Mt. Everest Superior Resort built they really wish they could hold an annual board meeting in (or whatever reason you come up where money tends to vanish to with this sort of organisations), plus taxes and stuff perhaps.


Will this not lead to chassis manufacturers terminating their customers contracts once all chassis points are obtained? I mean from a business point of view, it makes no sense to have customers after that point.
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VIP Audi Motorsport medal 5740
7 days ago Translate
That's exactly what I mean.

Once the chassis is finished, it's pointless to keep complaining about customers.

You just lose a lot of money every day.

It works with engines, though; the more customers, the more money you make.

But with chassis, the more customers you have, the bigger the losses. After three months, you're bankrupt.
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Frank Thomas medal 5046 Moderator
6 days ago
Yes, it means exactly that. I've also suggested to offer 2 contract types internally, one where the supplier receives data and one giving money allowing profit. Also to have some atrophy in the two Performance fields (as well as in 4 more grouping 2 car stats each), so Chassis development isn't a finish and forget thing.
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