I bought a few dragonstones, made them into dragon bolts and sold them. Why do I lose around 30k per dragonstone? There is nothing special to see in the GE charts :S

I had to buy the dragonstones around 20% above med and had to sell the bolts around 50% below med...

You kind of answered your own question there. if you calculated using medium price then you will get very different results buying them 20% above and selling 50% below.

in general the raw materials for a product are much more expensive then the product it self

 

~~~legoman187~~~

wat even is waiting for transactions

in general the raw materials for a product are much more expensive then the product it self

 

~~~legoman187~~~

 

This is a good rule of thumb in the Runescape economy, in general it doesn't work like how manufacturing in the real world does. I'll explain:

 

RS Items have two properties that give them value, potential XP, and functional value. If we take this partial process: Uncut Dragonstone + Unfinished Rune Bolts > Cut Dragonstone + Unfinished Rune Bolts > Dragon Bolts > Dragon Bolts (e), we can see that as you go along, we get closer to something that can be used, from a dull rock and bits of metal to dragonfire blasting crossbow bolts. Its functional value is increasing. If something similar was done in the real world, that would be the only factor and the overall value would increase with each stage.

 

However, in Runescape, items have potential XP, which can be yielded by processing them. In the process above, each stage involves a loss of potential XP, which starts with a heap of Crafting then a bit of Fletching and Magic XP, leaving nothing left when you end up with the finished product. Its XP potential is decreasing. XP for 'processing' skills, such as Fletching, Smithing, Magic and Construction inherently have a value, so by processing it, you're removing this value from the item and adding it to your account. In this case, the XP you extract is worth more than the added functionality of the finished product, so the overall value goes down for most, if not all, stages.

 

I hope that made sense, if not, I apologise.

in general the raw materials for a product are much more expensive then the product it self

 

~~~legoman187~~~

 

This is a good rule of thumb in the Runescape economy, in general it doesn't work like how manufacturing in the real world does. I'll explain:

 

RS Items have two properties that give them value, potential XP, and functional value. If we take this partial process: Uncut Dragonstone + Unfinished Rune Bolts > Cut Dragonstone + Unfinished Rune Bolts > Dragon Bolts > Dragon Bolts (e), we can see that as you go along, we get closer to something that can be used, from a dull rock and bits of metal to dragonfire blasting crossbow bolts. Its functional value is increasing. If something similar was done in the real world, that would be the only factor and the overall value would increase with each stage.

 

However, in Runescape, items have potential XP, which can be yielded by processing them. In the process above, each stage involves a loss of potential XP, which starts with a heap of Crafting then a bit of Fletching and Magic XP, leaving nothing left when you end up with the finished product. Its XP potential is decreasing. XP for 'processing' skills, such as Fletching, Smithing, Magic and Construction inherently have a value, so by processing it, you're removing this value from the item and adding it to your account. In this case, the XP you extract is worth more than the added functionality of the finished product, so the overall value goes down for most, if not all, stages.

 

I hope that made sense, if not, I apologise.

 

This post nailed this thread on the head =D>

 

However, i will add that Dragonstone bolts could be losing value due to looters and PvP circulation. I went PKing the other day with dstone bolts, and every fight i brought 10 of them and only lost 5 on a full inventory of rocktails. So they don't break very often. On top of this, when you do die with them your opponent picks them up and likely sells them, putting them back into the market.

 

This most likely made them less profitable to make(As i do believe they were profitable to make at once) as their price has dropped to around 2k ea.