Market Reports and Profit

Revenue is not profit

Revenue is the money collected from customers.

Cost of goods sold is the acquisition cost carried by the exact units sold that day. It is not based on the current market price. If you bought two batches at different prices, the report uses the recorded cost attached to the sold inventory.

Expenses include costs such as the market permit and eligible travel charges.

The basic relationship is:

profit = revenue − cost of goods sold − expenses − recorded losses

The report presents the relevant categories separately so you can see why a profitable-looking market may have produced only a small gain.

Travel costs

The most recent journey cost appears in one applicable market report. Once reported, it does not continue to reduce every later market. If you did not travel since the previous eligible report, no new travel cost should appear.

Spoiled goods

Goods that expire after the market are included in the same evening report. Their loss is shown using the quantity spoiled and the current town's fair market price. This communicates the value that disappeared from your cart.

Demand notes

Market notes only report requested goods that customers genuinely attempted to buy but could not obtain. They should not invent demand from goods that nobody requested.

The report can also identify:

• Goods that sold well
• Goods customers ignored
• Demand that was served
• Demand that remained unmet
• Market conditions that influenced the day

Respect

The report records Respect only when Respect was actually earned. A profitable day does not automatically grant it, and emergency permit assistance can prevent Respect from being gained for that market.

Political impact

When a law or decree changes the outcome, the report attributes the relevant cost, bonus or restriction by name. This prevents political effects from looking like unexplained changes in the economy.

Using the report

Ask four questions:

1. Which good produced the best actual margin?
2. Which cost surprised me?
3. Did I carry too much stock into the evening?
4. Does tomorrow's destination justify today's remaining cargo?

Then compare the report with your Merchant Notebook before placing the next order.