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gruezyesterday at 4:38 PM1 replyview on HN

That example only says 3% margin is better than 2% margin, not whether the hypothetical process yields better results than a bond paying 4% (or whatever). If the said process takes exactly 1 year to complete, and requires all the inputs to be provided upfront, then its margins can be directly compared to bond yields, but businesses are rarely that simple.


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TylerEyesterday at 5:43 PM

It's not hypothetical. Xbox's margin last year was 3%.

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