Stock valuation - Volkswagen
The primary reason a scandal like this hurts the company is the "bottom line."  Any legal action means defense costs.  In this case the potential of massive fines became reality.  And a buyback program.   So, if any publicly traded company stacked up $10B in assets, doused it in diesel and set it on fire, their stock would take a dip too. Billions in revenue directed to the expense side of the ledger instead of the profit side.  That money should have gone to building the company and dividends.
Below is an instruction that describes a task. Write a response that appropriately completes the request.

### Instruction:
Stock valuation - Volkswagen

### Response:
The primary reason a scandal like this hurts the company is the "bottom line."  Any legal action means defense costs.  In this case the potential of massive fines became reality.  And a buyback program.   So, if any publicly traded company stacked up $10B in assets, doused it in diesel and set it on fire, their stock would take a dip too. Billions in revenue directed to the expense side of the ledger instead of the profit side.  That money should have gone to building the company and dividends.