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pls help with 2nd part, where it says to Calculate the gross profits for years 5 through 8 Manitowoe Crane (B). Mantowoc Crine (U.5.) experts
pls help with 2nd part, where it says to Calculate the gross profits for years 5 through 8
Manitowoe Crane (B). Mantowoc Crine (U.5.) experts heavy crane equiponent to soveral Chinese dock facilities. Sales are currenty 12.000 units per ynar at the yuan oquvalent of $23,000 each for at least a decado. Accopting this forecast as given, Manitowoc Crane foces a pricing cecision in the face of the impending tevakuatien. It may either (1) maintain the same yuan price and in effec soh for lower dotars, in which case Chinese volume will not change: of (2) maintain the same dollar price, tise the yuan price in China to offset the devaluaton, and experience a 10\% drop in unit volume. Dieect costs are 75% of the U.S, sales price. Additonally, finandal mansgement believes that if it maintains the same yoan sales price, volume wil inerease at fox per annum through year eght. Dollar costs wat not chance. At the end of 8 years, Mantitowocis patent expires and it will no longer export to Crina. Ater the yoan is devalued to Yuans foss. no further devauations are oxpected. If Manitowoe Crane raises the yuan price so CASE 1 Calculate the gross profits for years 5 through 8 in the following table: (Round to the nearest dollar.) Step by Step Solution
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