Play Meter

First class
Mailbox
. . . .
PLA Y METER is a first class
publication. Keep up the good
work and much-needed informa-
tion about our industry .
Bob DeClementi
Select Service Systems
Jacksonville, Florida
Home warranties
In the August 15 issue of
Simple way
In writing the article "What's
Your Return?" (page 29) for the
June 15, issue, Mr. Pierson
makes a very simple calculation
seem complicated.
The same answer is arrived at
by simply dividing your net
income by your net worth, thus
giving you your "return on
investment. "
In all cases, you will get the
exact same answer.
Robert T. High
LeMans Speedway
[Ed. - That's not always true.
According to Dr. John Malone,
upon whom the business profit-
ability article was based, your
one-step calculation for figuring
return on investment does not
take into account the time-value
of money. The operator must
remember that he is looking for a
flow of income over a period of
years, not just for one year. If an
operator's machines have a
lifespan of just one year then,
yes, your formula would ring
true. But, generally speaking,
operators expect their machines
to continue earning money after
the first year, and your calcula-
tion does not take that into
consideration. Also, the formula
described in the article gives the
operator a way to analyze his
whole business profitability pic-
ture whereas your formula does
not provide that opportunity.
And, finally, there is nothing to
be gained from a short-cut
method, especially if it's not
always true. The extra time
tnvested in the "complicated"
formula is weU worth it. ]
PLAY METER, October, 1978
PLA.Y METER, the "Technical
Topics" article ("Take the Ball
and Run," page 39) states "There
is also a warranty that can't be
obtained in the normal video
market."
It should be pointed out that .a
consumer warranty is not valid
for any type of equipment that is
altered or used in a commercial
application. The warranty is valid
for normal consumer use only.
Pat O'Toole
EZE Industries
Lajas, Puerto Rico
"SlIPEl(
ARCADE PRICES
AI J UKE NEW'
c
AMERICOIN Junkyard ..•..•...••....•••..•••..•.•. $896
ATARI Sprint II .•..•..•.........•......•.......•.•. 1600
AT ARI Sprint 8 ........•...............•........••.. 4600
EXIDY Car Polo •...•...•..••........•.......•..•... 1996
ELECTRA Aylng Fortre .............................. 976
GREMLIN Blockade .••..•..•......................•. 896
MICRONETICS Night Racer ......•.•.............•. 1096
MIDWAY Gunfight ..............•....•...........•.. 896
MIDWAYWheel.II ...•...•....•.•....••...•••...••. 796
P.S.E. Bazooka ..•...•..•.................•........ 1096
P.S.E. De.ert Patrol. ...•.••...•.................••. 1196
SEGA Plinke,. Canyon .............••.....•...••... 3996
CXXKrAiL TAR FS
U.S. BILLIARDS Survival •.....•...•••....•....•.•.•. 396
BAILEY Fun 4 .......•.....................•......... 546
FUN GAMES Take 5 ...............•..•..•••..•.....• 496
MIRCO 21 .... •••.. ...••......••.....•.............. 996
MIRCO Super Stud .•..•.............•....•••.....•.. 996
MIRCO Strike. & Spare •..•.....................•.. 1096
MEADOWS Flim Flam .....•..•.••....•...•.•....•••• 496
MEADOWS Trax ...•...............••....•••...••••• 496
GREMLIN Co motion I & II ...•....••....••••.•••••••. 896
ATARI Tank II .•..• • .............••••............... 796
MIDWAY Gunfight •.......••....••.....•.....••..••. 995
ELCON Ba.eball ...•..•...••....•.....••.....•••..•. 896
ELCON Blockbuster N4 ............................. 1196
DIGITAL Knockout ...•.....................•..•.•••. 396
PLEASE CALL FOR PRICES ON ANY
TYPE OF NEW EQUIPMENT AVAILABLE
ADVANCE DISTRIBUTING COMPANY, INC.
2820 North Grand Boulevard • St. Loui., Missouri 63107
314-652-1600
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