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You are a product manager for a successful widget. The company paid cash for all its necessary costs. For each of the following new information,
You are a product manager for a successful widget. The company paid cash for all its necessary costs. For each of the following new information, indicate whether you should reevaluate the NPV of the project and why. Additionally, if yes, would the new NPV be expected to be higher, lower, or uncertain, because of the change? (4 points for each part) a) Your company economist indicates that inflation will be lower than expected. b) A competitor sees the success of your company's widget and has decided to make a similar product. c) The IRS issues a new guidance on depreciation schedule for newly purchased equipment. d) Congress increases corporate tax rates. e) The supplier of raw materials has supply chain issues and will be two months late with the delivery. f) Because of inflation, the company's cost of debt has increased
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