ElectricKaibutsu
Member
Again, I'm no accounting freak but shouldn't the research costs have been accounted for when in previous years as research happens before a product enters development? I guess development of the Wii U did not just start this year.
And development costs should be depreciated over the useful life of the Wii U, right? So how does it come that R&D costs have a huge impact on profitability this year, if this even is the case?
Serious question here.
You're saying, the Wii U R&D wasn't factored into this past financial year anyway? That's true. It was the year before when they dropped the price of the 3DS plus the Wii U R&D which put them in the red. Still, big youth isn't wrong. They have no big expenses any more for the next couple years, and just need to focus on getting out great games to sell systems. If they made a profit this year then they will almost definitely make a profit next year as well.