Hugh on Nostr: I never said it was. But firms exist to produce things. The total money in to units ...

I never said it was. But firms exist to produce things. The total money in to units of output is an obviously reasonable way to calculate the cost per unit of thing. If they spent $5M on donuts to incentivise their workers or give away in a marketing promotion, that’s still a cost of total production. If they gave 50% of the VC money to the founders in bonuses, that’s part of the total cost of running the business.