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PS4 don't buy from the flippers on here

You have to factor more than the cost of "parts" when you capitalize a product. You have to factor R&D, Marketing, Advertisement, Development, Manufacturing & Labor expense, etc.
Sure, it was just an example and to be honest I was being really conservative on the iPhone I think it's closer to 600% :)
 
You were on track until you hit the labor portion .... Chinese sweat shop labor is relatively cheap these days .... you'd be surprised what you can get accomplished with a pack of Ramen noodles as a bonus :nod:

Maybe I need to hire them to help me clear out brush and trees? Hummm....where can I find these laborers? ;)
 
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