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Copy - Cat, Inc. has signed a deal to make vintage Nissan 2 4 0 - Z sports cars for the next three years. The
CopyCat, Inc. has signed a deal to make vintage NissanZ sports cars for the next three years. The company will build the cars in Japan and ship them to the United States for sale. The current indirect rate is per dollar. The anticipated inflation rate for parts and labor in Japan is over the next three years, and the anticipated overall inflation rate for Japan is over the next three years. The expected overall inflation rate in the United States is over the next three years. The stated rates are on an annual basis. If CopyCat plans to sell cars a year at an initial price of $ and the cost of production is what is the annual profit in dollars for CopyCat? Assume it takes one year for production and all sales revenues and production costs occur at the end of the year. Is this profit rising or falling each year? Why?
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What is the expected sales revenue per car in dollars for CopyCat in year
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