Question
Copy-Cat, Inc. has signed a deal to make vintage Nissan? 240-Z sports cars for the next three years. The company will build the cars in
Copy-Cat, Inc. has signed a deal to make vintage Nissan? 240-Z 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 103.0452 per dollar. Just before? Copy-Cat starts the? project, the Japanese and U.S. governments announce new anticipated inflation numbers. The anticipated inflation rate for parts and labor in Japan is 2.2?% over the next three? years, and the anticipated overall inflation rate for Japan is 5.4?% over the next three years. The expected overall inflation rate in the United States is 3.1% over the next three years. ?(The stated rates are on an annual? basis.) If? Copy-Cat plans to sell 800 cars a year at an initial price of $42,000 and the cost of production is 4,076,500?, what is the annual profit in dollars for? Copy-Cat? Assume it takes one year for production and all sales revenues and production costs occur at the end of the year. Will these anticipated inflation rates affect the profitability of the vintage? 240-Zs? ? Why?
What is the expected sales revenue per car in dollars for? Copy-Cat in year? 1?
What is the expected sales revenue per car in dollars for? Copy-Cat in year? 2?
What is the expected sales revenue per car in dollars for? Copy-Cat in year? 3?
What is the expected production cost per car in dollars for? Copy-Cat in year? 1?
What is the expected production cost per car in dollars for? Copy-Cat in year? 2?
What is the expected production cost per car in dollars for? Copy-Cat in year? 3?
What is the expected profit in dollars for? Copy-Cat in year? 1? Enter a negative number for a loss.
What is the expected profit in dollars for? Copy-Cat in year? 2? Enter a negative number for a loss.
What is the expected profit in dollars for? Copy-Cat in year? 3? Enter a negative number for a loss.
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