all depreciating assets are better off leasing right? Cars, boats, and planes?
>>1231413
depends on how long you want them for. faggot.
>>1231413
Depends on how long you're going to use them.
>>1231413
depends on the price of the lease vs the rate of depreciation.
Don't forget women on your list.
Cars are the only ones that don't match the criterion in floats, flies, fucks.
because they have a generally accepted price floor.
>>1231428
I thought the general rule was, if it
Drives or Flies
Floats or Fucks
Oh well i'm not gonna worry about it too much maybe once I hit over the 100k price tags ill be more concerned
>leasing
>ever
The only question is always: can this money be put to better use somewhere else (i.e. make a higher return)?
So do I buy a boat with cash? Yes, if I have nothing else to invest in. No, if I have a better return available somewhere else. I put the cash to work and take out a loan or lease the depreciating asset (the boat).
It's called a opportunity cost. What future return am I giving up to have this thing. Basically, as long as the rate of borrowing or leasing is lower than the rate of return you can earn somewhere else, then you should borrow or lease (not taking into account tax benefits, and other frictions).
>>1231455
>The only question is always
No it isn't. It is impossible to break down opportunity cost in that way with everything. For example if I have a $100 flashlight I never used then the opportunity cost compared to investing that at even 1% interest says I should. But! What if the lights go out?
>>1231413
>not selling the house and sleeping in your used Rolls Royce like a real nigga
>>1231460
that's considered insurance, faggot. Different than leasing verses buying.
>>1231460
Opportunity cost would be hours and effectiveness of a $1 vs $10 vs $100 flashlight.
Take odds of failure or loss of
nine $1 lights vs
one $10 vs
ninety-nine $1 vs
one $100 vs
nine $10 vs
nine $10 and nine $1
and all the permutations in between
but really the breaker was the ongoing failure of batteries all along.
Damn actuarial science must suck.
>>1231413
If you're a business you're better off leasing
>>1231455
>opportunity cost
Opportunity cost is a meme. In this case you would not be spending any money at all.
Should I buy clothes or take ones from trash?
Oh, well, money for clothes could be invested in SPY, so I will just dress like a bum.
>>1231460
The value of the flashlight when the lights go out can be estimated. If it is greater than getting the rate (which it probably is) then you buy the light. I don't understand what you are disagreeing with. The flashlight has actual value like you said. (Remember to buy batteries!)
>>1231544
Do you think the newer clothes might provide better value to you? When you are dressed nice and clean, it is: easier to get a job, easier to get a girlfriend, people don't shun you, get better service, etc.
Maybe that is enough value to buy the newer clothes instead of wearing trash?
ITT: retards argue about money
I bought a boat with cash and its been an awesome 4 summers that ivr used it. Best purchase i ever madr. Stay arguing about money and how best to spend it while im on the boat blowing coke and drinking beers!!
>>1231636
>mixing uppers and downers
>>1231643
>not blowing some yayo while you drink
People on this board would rather have 30K in their pocket than a nice boat to chill on? LAFFING
