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Originally Posted by Rainger99
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We're talking fixed costs and variable costs. The cost of developing the assembly lines, equipment and battery development are being amortized over anticipated production units rather than the actual units produced. Because Ford's sales of EV units were very low these fixed costs divided by units sold plus variable costs cause a cost per car way in excess of sales price. When and if the units sold increase the theory is they will produce a per car profit. The same math will apply to battery costs. As units sold go up the cost per battery will go down.
But Ev sales will not go up significantly without an increase in battery range.
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Facts are stubborn things; and whatever may be our wishes, our inclinations, or the dictates of our passions, they cannot alter the state of facts and evidence. John Adams
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