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RolStoppable said:
Nuvendil said:

The returns is technically a bit different and will vary.  But nearly all expenses are eliminated for a first party digital release.

Considering that Nintendo usually has to ship lots of new copies each and every quarter, returns are negligible to non-existent most of the time.

Possibly, as I said it varies.  So better way to put it is that $34 is guaranteed average profit for a physical copy.  So it can go up.