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MINI CASE II You are an analyst for a major hockey stick manufacturer. The company is considering a new design for their hockey sticks. The
MINI CASE II You are an analyst for a major hockey stick manufacturer. The company is considering a new design for their hockey sticks. The market information is set our in the table below. The company plans to sell the new hockey sticks for six years. The equipment for the project has no salvage value. The equipment will be depreciated to zero over the project's life. The required rate of return is 14%, and the company has a 40% tax rate. Should you recommend the project? Explain you answer 163.000 Sera with Market Sil JOB ISO Market Share SciPrice 105 145 Variable costs per os Fixed C NEW S. 1.015.000 SI5ls In lowesten 230.000 TOS 150 94 91000 2050.000 MINI CASE II You are an analyst for a major hockey stick manufacturer. The company is considering a new design for their hockey sticks. The market information is set our in the table below. The company plans to sell the new hockey sticks for six years. The equipment for the project has no salvage value. The equipment will be depreciated to zero over the project's life. The required rate of return is 14%, and the company has a 40% tax rate. Should you recommend the project? Explain you answer 163.000 Sera with Market Sil JOB ISO Market Share SciPrice 105 145 Variable costs per os Fixed C NEW S. 1.015.000 SI5ls In lowesten 230.000 TOS 150 94 91000 2050.000
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