Food Theory: McDonald's is NOT a Restaurant!

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  • čas přidán 4. 11. 2020
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    Who Voted For Onion Cereal?!? ► • Food Theory: The TRUTH...
    Theorists, what is McDonald's selling? The answer seems obvious - fast food! Most of us have partaken in their Big Mac burgers, fries, and other staples of the golden arches. Yet, that may be a big ol' LIE! That's right, Ronald McDonald may not be a clown selling some of our favorite indulgent quick serve foods. In fact, McDonald's may be in a completely different business all together. What is that business? You'll have to watch to find out!
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    Credits:
    Writers: Matthew Patrick, Zach Stewart, and Luke Barats
    Editors: Pedro Freitas, Koen Verhagen, and Tyler Mascola
    Assistant Editor: AlyssaBeCrazy
    Sound Editor: Yosi Berman
    #McDonalds #BigMac #FastFood #Resturant #Food #Recipe #Matpat #GameTheory #FilmTheory
  • Jak na to + styl

Komentáře • 13K

  • @QubitHQ
    @QubitHQ Před 3 lety +21776

    How is working at McDonald's like being an archaeologist in Athens?
    You end up smelling like ancient grease.

  • @KainaX122
    @KainaX122 Před 3 lety +737

    “I have to sell my _McSoul_ to the company?!?”
    Me: “Well that seemed obvious”

  • @thenexithero02
    @thenexithero02 Před 2 lety +627

    The fact you owe your McSoul to McDonalds implies it's already theirs since it's got the Mc in front of it, and they've just been waiting to strike all this time. McDonalds is inevitable

    • @LadyOnikara
      @LadyOnikara Před 2 lety +51

      Ever since you were born. That's why some people are afraid of clowns. They remember Ronald McDonald in the delivery room with their parents.

    • @Flightkitten
      @Flightkitten Před 2 lety +27

      He's always McWatching. You can't escape Ronald. He will take your McSoul

    • @walterreinke7217
      @walterreinke7217 Před 2 lety +6

      yea man!!!!

    • @MarioMastr
      @MarioMastr Před 2 lety +4

      That’s why they’ll never take ur actual soul. There’s no mc

    • @MarioMastr
      @MarioMastr Před 2 lety +3

      @HighScoreGliscor HUUUGE MISSED OPPORTUNITY for a mcscaped pun

  • @Pheminon1
    @Pheminon1 Před 2 lety +473

    I'm an accountant and I'm GENUINELY surprised how accurate and well researched this is. Besides a few tiny mistakes here and there with semantics, you were spot on.
    Good job
    I can't finish the video, though cause it makes me feel like I'm doing my intermediate accounting class again lol. Giving me PTSD over here

    • @doocon1489
      @doocon1489 Před rokem +11

      What were the mistakes? Kinda curious

    • @dirtymike3329
      @dirtymike3329 Před rokem +43

      @@doocon1489 I don’t think there were many mistakes, just omissions. For example, he didn’t address loss carry forwarding in his amortization example. The whole video is just a bit oversimplified, which is fine considering the audience

    • @ken12117
      @ken12117 Před rokem +20

      He missed carryover losses in explaining 5 year amortization.

    • @franklinwhite-gl2cc
      @franklinwhite-gl2cc Před rokem +6

      I'm a Retired financial advisor and I think it pretty great. Good for you on the accounting that made me want to drop those 400 level classes and just pay you.

    • @tasos01
      @tasos01 Před 3 měsíci

      SAAAAAAMEEEE

  • @TetaGama
    @TetaGama Před 3 lety +1356

    Use this quote somewhere: "McDonald's is a real estate company that rents out buildings and makes them sell burgers so they can pay the rent"

    • @coolcatcastle8
      @coolcatcastle8 Před 3 lety +79

      @@AFPinerosG u mean a frenchfries

    • @thelazygamer2195
      @thelazygamer2195 Před 3 lety +29

      McDonalds is a real estate company that rents out buildings and makes them sell burgers s they can pay the rent.
      *You said use it somewhere. You never specified WHERE to use it.*

    • @joemullarkey5719
      @joemullarkey5719 Před 3 lety +1

      I’ll take random wacky bullshit for 500, Alex.

    • @alastorlapid2365
      @alastorlapid2365 Před 3 lety

      That doesn't actually sound that bad.

    • @cupajoe3655
      @cupajoe3655 Před 3 lety +2

      this video is just an explanation on how to be a better more successful buisness

  • @ecliptic6911
    @ecliptic6911 Před 3 lety +489

    Mom: GET OUT OF YOUR ROOM AND GET A GIRLFRIEND
    Me: SHUT UP MOM I'M LEARNING ECONOMICS

    • @levi_hackerman
      @levi_hackerman Před 3 lety +1

      Heh

    • @sillyom7071
      @sillyom7071 Před 3 lety +5

      Ya dead son!

    • @freakcan
      @freakcan Před 3 lety +13

      I'd classify it as Accounting

    • @rayd604
      @rayd604 Před 3 lety +4

      “YOU NEVER GET ME MOMM!!!”

    • @TYsdrawkcaB
      @TYsdrawkcaB Před 3 lety +4

      it’s mum for me
      and also why didn’t you choose something like “get a job or something” not “get a girlfriend”? makes more sense to me

  • @mimistardust3915
    @mimistardust3915 Před 3 lety +446

    The McDonald's brothers would be turning in their graves if they saw the 'efficiency' that's implemented in a modern McDonald's. Takes 20+ minutes to get your food 😂

    • @americanrroyalty
      @americanrroyalty Před 2 lety +35

      And the quality is worse

    • @PokeMario-pk4ot
      @PokeMario-pk4ot Před 2 lety +25

      How much food you ordering? I've never had to wait any more than 2 minutes

    • @wettaloca2923
      @wettaloca2923 Před 2 lety +14

      @@PokeMario-pk4ot
      You must live in a lil town

    • @Notmee2309
      @Notmee2309 Před 2 lety +9

      20+ in our town it is 45+ your lucky

    • @madhatter5698
      @madhatter5698 Před 2 lety +16

      @@PokeMario-pk4ot once my mom got like 2 or 3 burgers and 40 nuggets and it took them like 30 min and they forgot us and gave our food to other people and forgot our fries and never gave us a receipt

  • @Gabowsk
    @Gabowsk Před 2 lety +163

    So, what did you learn today?
    That McDonald's is a real estate company.
    What did it cost?
    *_Learning Taxes._*

    • @erenyhennawy4779
      @erenyhennawy4779 Před rokem +1

      AND YOU LEARNED THE WRONG FACT!! IN FACT, YOU SHOUD BE LIKE THIS WHEN YOU WHATCH THIS EVER MORE: .

  • @PikaPikaLOL
    @PikaPikaLOL Před 3 lety +2292

    After that Illuminati joke, I’m convinced his next channel will be “Conspiracy Theory”
    But that’s just a theory, a CONSPIRACY THEORY

    • @AxxLAfriku
      @AxxLAfriku Před 3 lety +34

      Why'd you have to go and make things so complicated? I see the way you're acting like you're somebody else. Gets me frustrated. Just admit that you love the videos I make, my dear kai

    • @apacheduane8998
      @apacheduane8998 Před 3 lety +5

      I like your name

    • @martinuz64
      @martinuz64 Před 3 lety +30

      @@AxxLAfriku wait, what?

    • @prussr1885
      @prussr1885 Před 3 lety +6

      @@AxxLAfriku big brain

    • @itsthevoiceman
      @itsthevoiceman Před 3 lety +34

      @@martinuz64 - they're quoting Avril Lavigne's "Complicated". Also, there's a conspiracy that she's been replaced.

  • @Wifies
    @Wifies Před 3 lety +5446

    Yeah and next you're gonna tell me that Panera isn't a bread like OK Matpat this is getting farfetched

  • @sapphicsandals
    @sapphicsandals Před 3 lety +430

    Ive learned more about taxes in this episode then my 16 years of schooling 🤣

  • @jemimahrajakumar7770
    @jemimahrajakumar7770 Před 2 lety +108

    It feels unreal being able to consume these refined and select collections of knowledge you beautifully present to us, totally free of cost. Thank you so much Matpat and everyone else behind this, your generous souls will be blessed greatly!

  • @Joeseph_Mamamoa
    @Joeseph_Mamamoa Před 3 lety +901

    When a theory teaches more than a school.
    I had to learn this AFTER having a business for 3 years, I wish this was a video way sooner, it would have saved me a lot of tax research

    • @autivivishow2951
      @autivivishow2951 Před 3 lety +7

      I am learning taxes in school

    • @shor6y810
      @shor6y810 Před 3 lety +15

      Your life was wasted to a superior real estate restaurant. Think about that.

    • @reneaceballo
      @reneaceballo Před 3 lety +5

      this guys researched for u

    • @rickfordmorningstar130
      @rickfordmorningstar130 Před 3 lety +7

      or hire a trustworthy person who's devoted their life to fucking the govt outta your money

    • @GPM3
      @GPM3 Před 3 lety +1

      but hey nothing is too late

  • @Exo-Eilte
    @Exo-Eilte Před 3 lety +657

    This is teaching me more about finances than school at the moment and I love it.

    • @SergioLeonardoCornejo
      @SergioLeonardoCornejo Před 3 lety +16

      School never reached anything financially useful.
      I mean. I'm Mexican, so our experience might be different, but I suspect most of the world is suffering a similar situation. After all the complaint is the same across several countries and generations X to Z (Whose oldest members were born in 2000). I'm sure the 2010s kids will have the same complaint soon.

    • @tyissticks
      @tyissticks Před 3 lety +1

      I was actually going to comment this so you beat me to it

    • @matthewoliver6629
      @matthewoliver6629 Před 3 lety +1

      economics in sophomore year, or macro and micro is what you got man

    • @crispy.potato.4054
      @crispy.potato.4054 Před 3 lety +4

      U missed the chance to say "I'm Mcloving it"

    • @grimmy24
      @grimmy24 Před 3 lety +3

      Yeah, poor financial education goals in schools is why everyone thinks Amazon legitimately pays $0 in taxes.

  • @HolyKhaaaaan
    @HolyKhaaaaan Před rokem +13

    This is somewhat similar to how Little Caesars makes their money. They can afford to sell crappy pizza at a low price because they are really in the food distribution business.
    If such a video doesn't already exist, I should love to see such a video on how Little Caesars works!

    • @MmMm-mr6tf
      @MmMm-mr6tf Před rokem +1

      He did lightly talk about it in his pizza toppings video if you're interested

  • @cupofearlgreytea7651
    @cupofearlgreytea7651 Před 3 lety +27

    "I owe my soul to the company store...."

    • @mentaya11
      @mentaya11 Před 2 lety +1

      Saint Peter don't you call me, cause I can't go

    • @dustycocoa7388
      @dustycocoa7388 Před 2 lety +1

      “You load sixteen tons, what do you get?
      Another day over and you’re deeper in debt”

  • @kamazinghehe4670
    @kamazinghehe4670 Před 3 lety +653

    Food theory:
    Teaching you about taxes more than school ever could

    • @donnysoal9748
      @donnysoal9748 Před 3 lety +29

      School teaching taxes? HA

    • @taringator
      @taringator Před 3 lety +21

      It's fun to see accounting being represented. It's just a shame the information was not correct.
      I left a earlier comment about this but basically companies prefer using bonus depreciation (100% tax depreciation) for the first year to get the tax benefit sooner. Also, you CAN keep the tax benefits in years where depreciation is greater then income.

    • @alonsans
      @alonsans Před 3 lety +12

      Me: Wants to learn what are taxes
      School: This is what is inside a mitocondria

    • @daniodino8243
      @daniodino8243 Před 3 lety +6

      @@alonsans school: this is what Emily made after the kid from across town mowed six lawns and found eight friends

    • @AmericanIdiot7659
      @AmericanIdiot7659 Před 3 lety +6

      A math test but If you get it wrong you get arrested.

  • @CKproductions1000
    @CKproductions1000 Před 3 lety +4225

    next channel : Tax Theory!

  • @pazzieanneknexx809
    @pazzieanneknexx809 Před 3 lety +22

    I wanted to say, thank you so much for teaching us! I've watched your channels every once in a while since 2014, and it feels like home when I come back.
    I really dig history and science, so this episode (and this channel) are really up my alley!

  • @beastmode8780
    @beastmode8780 Před 2 lety +4

    we need a full video of only food theory intros
    they just get me every time 😂

  • @jokeofalltrades2838
    @jokeofalltrades2838 Před 3 lety +501

    When a CZcams channel that makes theories on food teaches you more about business than most schools

  • @Moonstar79
    @Moonstar79 Před 3 lety +771

    Everyone's gangsta until Ireland decides they're also a bakery with that bread

  • @phoebe5114
    @phoebe5114 Před 2 lety +8

    Very informative. Thank you, Matt. Wish rich companies didn't have these sort of bs tax loopholes when individual people trying to make ends meet have no access to this kind of thing.

  • @hallowizer440
    @hallowizer440 Před 3 lety +7

    0:34 how have i never noticed that it's MatDonalds

  • @Salena905
    @Salena905 Před 3 lety +3813

    Matt pat you're the only person that makes talking about businesses interesting. You would make a great teacher.

    • @rosystrawberry
      @rosystrawberry Před 3 lety +164

      Imagine how high all those grades would be if he was.

    • @Salena905
      @Salena905 Před 3 lety +74

      @@rosystrawberrywe'd all be geniuses! Nerds / geeks rule the world! 😀 🎆🎊🎉🥇🥇🥇🥇🥇

    • @renadelkimt.magbalon3168
      @renadelkimt.magbalon3168 Před 3 lety +57

      True he could be a great teacher

    • @MrMhinson2
      @MrMhinson2 Před 3 lety +39

      Company man is also a good channel.

    • @burridi
      @burridi Před 3 lety +50

      Bold of you to assume he isn’t already teaching me stuff i never thought id want to know

  • @pentax2551
    @pentax2551 Před 3 lety +695

    I went for an interview at McDs once. The guy asked me “what is McDonald’s?” To which I replied “it’s a fast food chain of restaurants”.
    He sighed at me, apparently the answer he wanted was “one of the top charitable donating companies worldwide.” Like how was I supposed to know that’s the answer he wanted?

    • @philiphunt-bull5817
      @philiphunt-bull5817 Před 3 lety +53

      Seriously?

    • @Orinslayer
      @Orinslayer Před 3 lety +85

      They want you to go to their website and give them a regurgitated version of their about us page. 😉

    • @shadeshift1268
      @shadeshift1268 Před 3 lety +6

      Huh...

    • @cyrus6461
      @cyrus6461 Před 2 lety +9

      @@philiphunt-bull5817 mine wasn't that extreme, but yeah

    • @Daniel-jk6ve
      @Daniel-jk6ve Před 2 lety +28

      I don’t know if they were more proud of the Ronald Mcdonald Foundation or how they shelter and feed homeless rats.

  • @racetucker56
    @racetucker56 Před 3 lety +5

    Oh my GAWD, he sang Flight Of The Conchord’s “Business Time!” I’m so happyyyyyyyyyy!!

  • @ripreq589
    @ripreq589 Před 2 lety +2

    8:50
    ignore this

  • @alalalalsekkeke
    @alalalalsekkeke Před 3 lety +271

    Game Theory: Making games more interesting
    Film Theory: Adding More Lore
    Food theory: questioning my sanity

  • @toushu-422
    @toushu-422 Před 3 lety +1336

    This taught me more about money, than my teachers ever had.

  • @Helluva_Mars667
    @Helluva_Mars667 Před rokem

    I've learned so much about real estate, you are amazing and so informative!

  • @Migzter05
    @Migzter05 Před 2 lety +3

    I'm glad to have known the crazy fact about McDonalds being more of a real estate company than a restaurant a couple of years back because of the film 'The Founder'. And yes, it is a really good film! I actually watch it at least twice a year just because of how good the story and performances are. 😀

  • @thomasallerton5334
    @thomasallerton5334 Před 3 lety +171

    When MatPat watches “The Founder” and goes “yeah I can make a video about this”

  • @rubiconprime1429
    @rubiconprime1429 Před 3 lety +634

    McDonald’s is a landlord?
    “You’ll get your rent when you fix this goddamn ice cream machine!!!”

    • @SOMEONE-pr8qp
      @SOMEONE-pr8qp Před 3 lety +19

      Aah a man of quality

    • @MissMisa39
      @MissMisa39 Před 3 lety +6

      I WANT MY ICECREAM MCDONALDS

    • @AceoftheVoid
      @AceoftheVoid Před 3 lety +18

      The funny thing is the ice cream machine isn't usually broken. It's just a lazy lie so they don't have to explain that it shuts down at a certain time every day to clean itself

    • @theuniverse5311
      @theuniverse5311 Před 3 lety +1

      @@AceoftheVoid true LOL

    • @twenty-fifth420
      @twenty-fifth420 Před 3 lety +6

      >The Burger King flying behind
      “Im still here, McPeter!”

  • @hennerztheman5007
    @hennerztheman5007 Před 2 lety +13

    I LOVE how this channel in general (specifically the values of the pizza, chips and soda vodeos) teaches you stuff you actually use in life **cough poetry cough**

    • @themooreoable
      @themooreoable Před 10 měsíci

      they teach you poetry and make you analyze it so you learn critical thinking skills

  • @thorned_sakura
    @thorned_sakura Před rokem +1

    Omg love the flight of the conchords reference. Like the crossover i didn't know i needed!

  • @therealcrb
    @therealcrb Před 3 lety +480

    I love how instead of calling us "guys" like most CZcamsrs, he calls us "friends."

    • @heshamkaram5271
      @heshamkaram5271 Před 3 lety +2

      OMG..............
      czcams.com/video/FSSFgWlDbJU/video.html

    • @salt407
      @salt407 Před 3 lety +30

      Who would’ve guessed that calling someone a friend sounds friendlier

    • @benjamincooper358
      @benjamincooper358 Před 3 lety +19

      And it's gender neutral!

    • @BlazinInfernape
      @BlazinInfernape Před 3 lety

      @@heshamkaram5271 ok bro

    • @TheCPtutorales
      @TheCPtutorales Před 3 lety +3

      Basic psychology and marketing tactic. I'm surprised you thought it was subtle e.e

  • @paladincomics
    @paladincomics Před 3 lety +496

    "Welcome do McDonalds, may I take your McOrder"
    "hey you don't have to say Mc before every word okay?"
    "Okay boss, excuse me sir,
    welcome to Donalds"

    • @Cyril29a
      @Cyril29a Před 3 lety +29

      Well about 40% of Americans would prefer that name.

    • @paladincomics
      @paladincomics Před 3 lety +9

      @@Cyril29a good one XD

    • @noannbrigido8147
      @noannbrigido8147 Před 3 lety +11

      They should put McDonald’s in Antarctica because the penguins need mc flurrys

    • @illgorhythm
      @illgorhythm Před 3 lety +3

      Well actually in other branch including us, we do not really prefer to say, "Welcome to McDonald's" because you know, you're already in the McDonald's why would the crew need to tell you that?

    • @paladincomics
      @paladincomics Před 3 lety

      @@illgorhythm I worked in one and we didn't say it either, we had to be fast so just straight up ask what they want

  • @alexb.4104
    @alexb.4104 Před 2 lety +4

    I’m kinda planning to be an accountant and I feel that this video saved me significant amounts of work in college.

  • @thestorysaurus
    @thestorysaurus Před 2 lety +34

    There's something wrong with the world when a CZcams video teaches you taxes better than 16 years of schooling. We obviously need to know how to do scientific things(assuming you're not a scientist) but not know any how to pay taxes or anything! Isn't that right schools? Yep!

    • @gabrieljordan8015
      @gabrieljordan8015 Před 2 lety +3

      Our entire system is outdated and needs a serious upgrade.

    • @thecomposerchanginggames5250
      @thecomposerchanginggames5250 Před 2 lety +1

      Yes. Our school system has been corrupted since around 1917, according to my research. It really is a shame.

  • @mixedlove217
    @mixedlove217 Před 3 lety +388

    ....
    "I owe my MCSOUL to the company?!"
    That settles it. McDonald's is a cult.

  • @AttackonSandwich
    @AttackonSandwich Před 3 lety +127

    Finance grad here, this simple accounting explanation was done better and more interesting than my day 1 accounting class. The example and explanation through depreciation and amortization are great and I just wished education was made more interesting like this. This is exactly why I love all the Game Theory channels.

    • @beccac4982
      @beccac4982 Před 3 lety +3

      Accounting grad here, I came looking for a comment like this!! Totally agree.

  • @halo2odst
    @halo2odst Před 3 lety +3

    I'm pretty sure businesses are allowed to carry losses forward for the purpose of taxes. In other words it wouldn't matter when you do the write off

    • @kpdog123
      @kpdog123 Před 2 lety

      Short answer: it depends. There's so much nuance to the tax code and tax planning that you really need to look at each situation individually.

  • @bennettam.9330
    @bennettam.9330 Před 2 lety +1

    We watched this episode in class and I could not be happier!! 😭😭

  • @shenglongli8387
    @shenglongli8387 Před 3 lety +359

    McDonald: not a restaurant
    me: how many other lies have I been told by the council?

  • @user-mh2bw4hu3o
    @user-mh2bw4hu3o Před 3 lety +1202

    Theory: the next theory channel will be: “Conspiracy Theory”
    When matpat was talking about the illuminati, a purple theory sign with an eye popped out for a few frames.

    • @catgamer267
      @catgamer267 Před 3 lety +54

      I was looking for a comment like this

    • @Jaguarstudios8379
      @Jaguarstudios8379 Před 3 lety +20

      Same, think so too

    • @abdullahbazil7532
      @abdullahbazil7532 Před 3 lety +50

      It is not a clue for a new channel, it was a tiny joke, if there was a new channel it's theme would be blue

    • @saosp95
      @saosp95 Před 3 lety +41

      Yeah but in a gtlive he said that he could never do a conspiracy theory

    • @user-mh2bw4hu3o
      @user-mh2bw4hu3o Před 3 lety +17

      Meh, this is just a mini theory. I did not really put much effort into it.

  • @nitemis
    @nitemis Před 2 lety

    This video has actually helped me so much with my finance unit at school. Thanks, Matt Pat!

  • @Xyliphox
    @Xyliphox Před 2 lety +1

    I know i’m seeing this video a little late but I think when matpat was calculating the tax for “burger bot 2000” he made a small discrepancy that actually means they are the same amount of tax. When he was calculating it for the second year with no depreciation it went from -50,000 from the first year to +50,000 even though in the second year you only made 50,000 when it should have leveled out to zero with this you would takeoff 10,500 of the total making it equal to the amount you would make from separating the costs.
    Love the theories keep it up.

  • @TomMcMorrow
    @TomMcMorrow Před 3 lety +233

    "Put on your business socks"
    Jokes on you I went to school for finance. I own a drawer full of business socks!

  • @eken1725
    @eken1725 Před 3 lety +186

    7:27 "Land doesn't expire or deteriorate"
    Louisiana: Let me introduce myself.

  • @protarbeni4006
    @protarbeni4006 Před 2 lety +1

    I love it how mat literally explains how accounting works in this system as a business college student I can approve to his explanation

  • @rengyspikys
    @rengyspikys Před 10 měsíci +2

    Thanks for uploading at my birthday 🎂

  • @imrn9191
    @imrn9191 Před 3 lety +130

    Food theory: McDonald's is not a restaurant.
    Me: *no it's a hotel*

    • @sekoseko5539
      @sekoseko5539 Před 3 lety

      OMG...........
      czcams.com/video/FSSFgWlDbJU/video.html

    • @lekekkkrkrop7212
      @lekekkkrkrop7212 Před 3 lety

      yup same i sleep in a car using the mcdonald's wifi

    • @kaitenkarmluni903
      @kaitenkarmluni903 Před 3 lety

      Omg !! czcams.com/video/oiBAR8vaAHk/video.html

  • @davidryker9442
    @davidryker9442 Před 3 lety +374

    "Like when you realize that the Illuminati is actually real." >purple theory symbol flashes in background<
    We need a purple conspiracy theory channel.

    • @goodpotato24alt95
      @goodpotato24alt95 Před 3 lety +9

      LIFE THEORY

    • @bennyboiart7781
      @bennyboiart7781 Před 3 lety +8

      Or you could say...
      a "conspirthy" channel. ; )

    • @grndragon7777777
      @grndragon7777777 Před 3 lety +4

      @DINKLE BERG it works so well

    • @maddogerios
      @maddogerios Před 3 lety +1

      I just saw 69 likes and I blinked and it changed to 77
      (Ps. Noice)

    • @davidryker9442
      @davidryker9442 Před 3 lety +5

      @@maddogerios This pops up as a notification for me, I check, and see that it's gone up twenty since you posted that. It's amazing how popular the idea of a conspiracy theory channel is. Take a hint, MatPat.

  • @jasmineperry7398
    @jasmineperry7398 Před rokem

    Brooo this is wild, also fr thank you for making business make sense

  • @herootpups
    @herootpups Před 2 lety

    Thanks to the depreciation portion of the video, it actually helped me out when filling out my taxes this year, thank you Team Food Theorists

  • @creamymarshmxllow2830
    @creamymarshmxllow2830 Před 3 lety +172

    “Are you a restaurant or a real estate firm?
    Mcdonalds: I’m playing both sides, so that i always come out on top

    • @homedepot.
      @homedepot. Před 3 lety

      Me being bi: y e s

    • @danielortega6567
      @danielortega6567 Před 3 lety

      @@sekoseko5539 look we got a spammer here get em

    • @person3271
      @person3271 Před 3 lety

      @@starfireseraphim9696 this is fucking genius

  • @becca8237
    @becca8237 Před 3 lety +2159

    "Where'd you learn how to do taxes?"
    a CZcams video about mcdonalds

  • @johnnythewalrus
    @johnnythewalrus Před 2 lety +2

    I love The Founder. Watched it almost as soon as it was released, and since then have watched it probably 20 times.

  • @tedphillips2501
    @tedphillips2501 Před rokem +3

    Very informative and good presentation. Have you done a video on how McDonald's corporate screws their franchises by requiring them to use Taylor machinery ?

  • @bellavoid2479
    @bellavoid2479 Před 3 lety +440

    I think mat should make a school for teaching us this more then real teachers do 😂

    • @ibethemango3192
      @ibethemango3192 Před 3 lety +8

      YESSSSS

    • @noo6423
      @noo6423 Před 3 lety +2

      Yea but he think of a theory and we help him solve it

    • @Taffoman
      @Taffoman Před 3 lety +3

      Maybe that is the problem of your educational system.

    • @tyrj.williams5316
      @tyrj.williams5316 Před 3 lety

      Agreed

    • @themonarch620
      @themonarch620 Před 3 lety +3

      If you're learning more from a CZcams video, then your educational system needs to change.

  • @mcmoth7945
    @mcmoth7945 Před 3 lety +427

    I know it's a bit obvious but: "It's free real estate"

  • @vinnys_pizzeria7890
    @vinnys_pizzeria7890 Před 2 lety +2

    i love food theory!!! they should make a channel like this but about video games.

  • @shoe5672
    @shoe5672 Před 3 lety +1

    You must have read Rich Dad, Poor Dad, by Robert Kiyosaki. In the book, he talks about Ray Kroc addressing an MBA class graduate class, wherehe asks, "What business am I in?" A graduate responds, "The hamburger business!" Kroc then responds, "No, I'm in the real estate business." It's one of my favorite books, and it was like you took this right out of it 😂👌🏻 10/10

  • @vali69
    @vali69 Před 3 lety +324

    "I'm working at a multi-billion dollar company that deals with real eastate"
    "So you're an real estate agent?"
    "No I flip burgers at McDonald's"

    • @TheRezro
      @TheRezro Před 3 lety +14

      Technically restaurants themselves are "owned" by "independent" contractor. So you actually don't work for McDonald, just in McDonald restaurant. Also it isn't a theory. McDonald officially is a real estate company.

    • @vali69
      @vali69 Před 3 lety +7

      @@TheRezro what if the person works at one of those restaurants managed/owned by McDonald's themselfs?

    • @campkira
      @campkira Před 3 lety +1

      that why the guy kick the partner out as soon as possible when he can made money off the rent..

    • @theuniverse5311
      @theuniverse5311 Před 3 lety

      WRYYYYYYYYYYY

    • @TheRezro
      @TheRezro Před 3 lety +2

      @@vali69 They don't do that.

  • @wanderneverlost1557
    @wanderneverlost1557 Před 3 lety +211

    FINALLY!!! I've been waiting ALL WEEK!!!

  • @Baggytrousers27
    @Baggytrousers27 Před rokem +4

    McDonalds is a restaurant in the same way that Chuck E. Cheese is a Family Entertainment Centre that contains a restaurant.

  • @lizziedoesthings1450
    @lizziedoesthings1450 Před 3 lety +4

    Johnny Harris has a video on why the McDonalds ice cream machines are always broken, and it has a lot to do with the fact that these stores are individual franchises. Would love to see MatPat's take on it.

  • @brandont.3804
    @brandont.3804 Před 3 lety +2371

    Isn't it kinda crazy how this 15 minute video taught us more about accounting and business than school will ever teach you

    • @yungchang4124
      @yungchang4124 Před 3 lety +67

      Bruh just take business or financial math, you learn quite a bit

    • @bo2doki811
      @bo2doki811 Před 3 lety +58

      well, school teaches you basic stuff, this is why specific schools exist for want you want to pursue. Like business school and law school

    • @Rainfire-forgets-to-animate
      @Rainfire-forgets-to-animate Před 3 lety +32

      You get used to learning more from CZcams than school if you watch Matpat's channels enough.

    • @zedantXiang
      @zedantXiang Před 3 lety +17

      Well its because just like Advanced math,accounting and business isnt needed in real lif-- wait.

    • @akoiya6300
      @akoiya6300 Před 3 lety +13

      Unless you take an accounting course

  • @5kwithoutanyvideos992
    @5kwithoutanyvideos992 Před 3 lety +383

    Here’s a food theory: What is the easiest way to win a hotdog contest? Like, an eating contest.

    • @BrotherTheory
      @BrotherTheory Před 3 lety +9

      I would love to do that theory on the channel :) I don't want to do self promoting, but I make theories (about game and movies) and I am about to reach 200 subscribers :) I make theories about suggested game and movies :) I would mean the world to me if you subscribed to the channel :) Thanks :)

    • @joshuakim5240
      @joshuakim5240 Před 3 lety +13

      Actual competitive hotdog eaters dip the hotdog sausages in water and just gulp the whole things down. Apparently the goal is to shove down hotdogs so fast that before the body registers information about how full it is, it's gone way past the limits its supposed to have. Can't really digest that either, so after the competition they have to throw up all of the whole hotdogs to get them out of their systems.

    • @5kwithoutanyvideos992
      @5kwithoutanyvideos992 Před 3 lety +1

      Brothers Theory Productions I understand being a small creator, check me out I’m Finnimation Studios!

    • @alaiaomanu6318
      @alaiaomanu6318 Před 3 lety +1

      czcams.com/video/LmtbkmapCKs/video.html RIP Manny MUA ,he died this morning ,so sad :(

    • @jancoxdd
      @jancoxdd Před 3 lety +2

      @@BrotherTheory if you don't want to self promote, don't...

  • @PSmith5194681153
    @PSmith5194681153 Před 2 lety +1

    Depreciation is a method of expensing tangible assets (usually called fixed assets) over time, such as computers, equipment, furniture, buildings, etc. Land is not depreciated because it retains its value on average. Amortization is expensing intangible assets over time, such as organizational costs, copyrights, software, etc. Some people add software to the fixed assets, but they really should be intangible assets.

  • @reconresearch4051
    @reconresearch4051 Před rokem

    i really actually love these food theory videos

  • @PurooRoy
    @PurooRoy Před 3 lety +610

    McDonald's: Puts Mc in front of everything they own.
    Batman: Finally a worthy opponent!

  • @CodinskiSchwartzando
    @CodinskiSchwartzando Před 3 lety +140

    Never thought I’d encounter the word “amortize” outside of work. Our company is sometimes asked to amortize expedite fees by working the cost into the unit price of their order, saving them the hassle of issuing a new purchase order.

  • @marcosbeni5875
    @marcosbeni5875 Před 3 lety +2

    9:00 Actually, businesses can carry over losses to future years. So on year 2, they get to deduct the remaining $50,000 loss from year 1, leaving them with $0 in taxes in year 2 too. In fact, amortization is almost always NOT the way to go due to opportunity costs, so accountants usually deduct expenses right away in a lump sum whenever possible.

    • @thecomposerchanginggames5250
      @thecomposerchanginggames5250 Před 2 lety

      I don't think in his scenario he counted for opportunity costs, he basically assumed the future there.

  • @Alexindiegamedev
    @Alexindiegamedev Před 2 lety +3

    Thank you MatPat for the business lessons I appreciate it

  • @djrios7483
    @djrios7483 Před 3 lety +352

    New Food Theory: How much soda and mentos do you have to use to make a functional jetpack

    • @bluelfsuma
      @bluelfsuma Před 3 lety +11

      *_YES._*

    • @nainnani7620
      @nainnani7620 Před 3 lety

      They dont need to make a whole video about it it's just not gonna be long and intresting

    • @ineedsleep1682
      @ineedsleep1682 Před 3 lety +3

      Yes >:)

    • @djrios7483
      @djrios7483 Před 3 lety +6

      @@nainnani7620 i just thought that it would be interesting to talk about. I mean, he went into how many chicken nuggets you might need to survive a fall.(even if it wasnt possible)

    • @majapapaya8981
      @majapapaya8981 Před 3 lety +1

      Absolutely.

  • @Se1Ko0
    @Se1Ko0 Před 3 lety +369

    McDonald's is gonna be the FNAF of Food Theory. i'm calling it.

  • @disfrutadordelinternetgene6711

    i was doing some homework while hearing this video and i just realized im learning more from this video than from my homework

  • @theshreyinator174
    @theshreyinator174 Před 2 lety +1

    Me before watching the video: Oh hey, matpat made another video, let's see what it is
    Me after watching the video: "says a lot about taxes". And that is how they make brownies
    really, this is the only business related thing I can watch without falling asleep

  • @mexicanpototo649
    @mexicanpototo649 Před 3 lety +252

    Dude, I have learned more about business and real estate than my business academy has taught me. A LITERAL ACADEMY, MADE TO TEACH BUSINESS.

    • @RZDraws
      @RZDraws Před 3 lety +10

      Same
      I've literally learned more about business from these videos during these months than from my university for the past 3 years

    • @declancheong8836
      @declancheong8836 Před 3 lety +10

      @@RZDraws it was because academies and schools and stuff were made in the Industrial Age to produce obedient workers,and fsr it hasn’t changed for 200 years

    • @supertron6039
      @supertron6039 Před 3 lety +3

      Still can't get over his Coffee video. It's such a cool in-depth analysis. Man, I love this channel.

    • @enderpearl8281
      @enderpearl8281 Před 3 lety

      lol true

    • @shubhamagrawal8259
      @shubhamagrawal8259 Před 3 lety +7

      Food Theory is wrong by that i mean their calculation for taxes are wron. Even if you make loss in year 1 you can claim that loss in next year to set off your profits i.e. if you make 50,000$ at the end of year 1 it will be setteled with the earnings from Year 2 which is again 50,000$ so at the end of year 2 you will show IRS that you have not made any profit so you are not laible to pay any taxes in 2nd year also but from 3rd year there are no losses and so you have to pay taxes which will end up $31,500 even without depreciation.
      The real reason is not that they will save taxes but is something known as "Discounted CashFlow". DCF is why any business shows Depriciation rather than claming all costs at year 1.

  • @evanmarcus5975
    @evanmarcus5975 Před 3 lety +52

    This channel is truly magical. I just watched a 15 minute video about big corporations doing taxes, and I was entertained the whole way through. This community is incredible.

  • @EricckkkMoneyyy
    @EricckkkMoneyyy Před 2 měsíci +1

    I worked at McDonald's 12 years ago in Knoxville, TN and it was actually a very good place. Although I only get started out at $7.25 and ended at $8.50 an hour. But I've ate and been to so many messed up McDonald's in my life. I was at one that a person got stabbed at, many fights broke out on a lot of them, some of them were dirty, etc.

    • @EricckkkMoneyyy
      @EricckkkMoneyyy Před 2 měsíci +1

      Isn't Revenue money the same as Gross Income?

  • @kathrynferland141
    @kathrynferland141 Před 6 měsíci

    I was not expecting this video to be a video about accounting. Me being an accounting love this 😂

  • @SangoProductions213
    @SangoProductions213 Před 3 lety +283

    So, the question is: "Why do franchisees agree to these terms so frequently?"
    Well, running a restaurant is very difficult, and the vast majority run on slim to no margins. Brand name alone helps to improve your chances. But also McDonald's does a large part of the work for you. At least as far as planning goes.
    You get to run your business in an area the franchise has deemed optimal...and they probably know more about that than you do, considering collective experience. You are also given your menus, which means you know what you are going to make, and how you should make them. This standardization also helps to get customers, due to them knowing what they can get, regardless of the McDonald's.
    Being a Franchisee is basically the entry level job of starting a business. It shows you the ropes, and guides you through many of your responsibilities.

    • @justinesedesky9638
      @justinesedesky9638 Před 3 lety

      _ j
      Lf

    • @SangoProductions213
      @SangoProductions213 Před 3 lety +14

      @Lord Waluigi I wish you the best of luck.

    • @beakersgarage383
      @beakersgarage383 Před 3 lety +10

      This is very well stated! I love it!

    • @LeoBeastmode
      @LeoBeastmode Před 3 lety +21

      There's also a bit of a fail-safe in that if your franchise location is unsuccessful for one reason or another, the franchiser will get you closed down and sold back before you're knee deep in debt. Or if, god forbid, some mob decides to burn down your Wendy's, you'll probably have the building insured through the franchiser.

    • @PY5RA
      @PY5RA Před 3 lety +3

      I imagine they will also take care of logistics stuff as well; like ordering ingredients and stuff ??

  • @WitherLord888
    @WitherLord888 Před 3 lety +111

    "I think MatPat had too much fast food and all the salt dried his brain". People say this theory is far fetched....but be honest, what MatPat theory ISN'T farfetched? Isn't that one of the reasons why we like them?

    • @cipherwolfieowo7714
      @cipherwolfieowo7714 Před 3 lety

      Yep

    • @annastclair5898
      @annastclair5898 Před 3 lety +5

      But this one isnt farfetched, its simply a fact. If their earnings from real estate exceed their food earnings then they are absolutely primarily a real estate agency regardless of how they want the public sphere to recognize them.

  • @raidonraikatuji2243
    @raidonraikatuji2243 Před 2 lety

    I loved the video! I believe that all franchisees in the U.K. pay a percentage of sales. The rent is factored into this and not charged separately. Drive-Thru are charged a higher percentage.

  • @blaze556922
    @blaze556922 Před 10 měsíci

    I've already learned more from this channel than I ever did in school tbh

  • @clothingpool2847
    @clothingpool2847 Před 3 lety +212

    Everyone: Matpat is my teacher
    Matpat: today we will talk about tax avoidance

    • @thesilverprincess
      @thesilverprincess Před 3 lety +4

      Lol if he really was a teacher you know he’d be fired on his 1st day lol

    • @egg-roll8968
      @egg-roll8968 Před 3 lety +3

      Tax evasion is a crime, what they are doing is 100% legal. However imo bonuses should come after the company being taxed, not before, esp higher ups.

    • @michelleellison6284
      @michelleellison6284 Před 3 lety +8

      It's tax avoidance, not evasion. It's legal.

    • @rougn
      @rougn Před 3 lety

      @@starfireseraphim9696 thats not political

    • @davidsilva7376
      @davidsilva7376 Před 3 lety +1

      @@michelleellison6284 There is something called TAX EVASION which IS ILLEGAL

  • @A.J.TheRocker9000
    @A.J.TheRocker9000 Před 3 lety +89

    Mat:“I know McDonalds! YOU know McDonalds!”
    Me: Wait for it…
    Mat: “OR DO WE?!”
    Me: THERE IT IS!

  • @mrrabbit4616
    @mrrabbit4616 Před 2 lety +1

    Just want to say thanks MatPat this video helped me a lot since I’m doing a business project on McDonalds

  • @individual2122
    @individual2122 Před rokem +1

    No fast food joint is a restaurant, they are low-key food distribution centers, the customers that go there take the food and go, the front lobby where the tables are is a cafeteria/mess hall for workers when they're on a lunch break.

  • @quinnfulton7145
    @quinnfulton7145 Před 3 lety +88

    As an accountant, this episode brings me joy because it helps many people understand basic accounting functions with topical examples. Excellent job!

    • @BrotherTheory
      @BrotherTheory Před 3 lety +3

      I completly agree with you, Quinn :) I make theories myself and I appreciate it that MatPat explains the functions to everyone :)

    • @Sturmpd
      @Sturmpd Před 3 lety +1

      “Well your a nerd!”

    • @heshamkaram5271
      @heshamkaram5271 Před 3 lety

      OMG...............
      czcams.com/video/FSSFgWlDbJU/video.html

    • @themanwithallthewrongopini3551
      @themanwithallthewrongopini3551 Před 3 lety

      @@heshamkaram5271 no

  • @wetdanksauce6191
    @wetdanksauce6191 Před 3 lety +188

    Mat pat: McDonald’s is NOT a restaurant
    Me: It’s a place where you get food
    Matpat: It’s a REAL ESTATE company
    Me: Yeah that’s what I said...

  • @austinheiser1276
    @austinheiser1276 Před 2 lety

    When you said that business Time song I instantly knew what it was from I didn’t know people actually knew that was a song

  • @freetoh8
    @freetoh8 Před rokem

    Love that there is a Flight of the Concords reference in this video. Severely underappreciated comedy group!

  • @srinivallabhaneni7120
    @srinivallabhaneni7120 Před 3 lety +121

    Matpat in 2069: soup is a noble gas
    But seriously give this man some love he makes some of the best videos in youtube today.

  • @marshallhester3520
    @marshallhester3520 Před 3 lety +102

    When I apply to McDonalds, I’m putting, “Watched this episode of Food Theory” on my resumé.

  • @Mcdouble123
    @Mcdouble123 Před 2 lety

    I WATCHED THE FOUNDER ITS AWSOME OMG I’m just so happy it’s just soooo miccing good (the miccing is fricking)lol

  • @Cl0udystar
    @Cl0udystar Před rokem

    Food theory always makes me hungry kinda regret always watching it every night before sleep