add five new chairlifts. Suppose that one lift costs $2 million‚ and preparing the slope and installing the lift costs another $1.3 million. The lift will allow 300 additional skiers on the slopes‚ but there are only 40 days a year when the extra capacity will be needed. (Assume that Deer park will sell all 300 lift tickets on those 40 days.) Running the new lift will cost $500 a day for the entire 200 days the lodge is open. Assume that the lift tickets at Deer Valley cost $55 a day. The new lift has
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**What is NPV?** a) If the value of NPV is greater than 0‚ then the project is a go! In other words‚ it’s profitable and worth the risk. b) If the value of NPV is less than 0‚ then the project isn’t worth the risk and is a no-go. So NPV takes risk and reward into consideration‚ which is why we use it in the world of corporate finance and capital budgeting. **Example** In order for us to calculate NPV‚ let’s use the following example. Suppose we’d like to make 10% profit on a 3
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Principles of Managerial Finance MBA6‚ GROUP 1 Phelps Toy Company TOYS Prepared by :Essam Gayad ‚ Aladdin Al-Jajeh‚ Majed Mourtada ‚ Shaza.Rifaai MHD Obada Morad Date 22nd May 2012 MBA6 -MF Phelps toy company case‚ 6 YEARS BUDGET STUDY‚ PROJECT FEASIBLITY Table (1) sales and net income of the company for the past years. year 1974 1975 1976 1977 1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 $SALES 150‚000 240‚000 756‚000 1‚340‚000 2‚680‚000 3‚320‚000 5‚580‚000
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Technical Manual Heritage Production: Technical Manual Heritage was prepared by the Future City Group of The City of Newcastle. Enquiries: For information about this document‚ contact: Customer Enquiry Centre City of Newcastle Phone: 02 4974 2050 Published by: City of Newcastle 282 King Street‚ Newcastle. Phone: 02 4974 2000 (main switchboard) PO Box 489 Newcastle 2300 Australia 02 4974 2222 mail@ncc.nsw.gov.au www.newcastle.nsw.gov.au Post: Fax: E-mail: Web: Update June
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Investment appraisal is the planning process used to determine whether an organization’s long term investments such as new machinery‚ replacement machinery‚ new plants‚ new products‚ and research development projects are worth pursuing. It is budget for major capital‚ or investment‚ expenditures. Many formal methods are used in capital budgeting‚ including the techniques such as 1. Accounting rate of return 2. Net present value 3. Profitability index 4. Internal rate of return
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Expenses (HK) 10 List of Tables Table 1: List of Assumptions made for NPV analysis 4 Table 2: List of Limitations on NPV Analysis. 4 Table 3: Estimation of Resale value of Carrier @15th year 7 1. Introduction 1.1 Executive Summary Ocean Carriers Inc. (OCI) is an International provider of Marine transportation services mainly focussing on Dry Bulk commodities mainly iron ore and coal. OCI has offices located in New York and Hongkong. One of OCI’s customer’s is keen in committing for a
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Heritage Assessment in Evaluating the Needs of the Whole Person. The heritage assessment tool is useful in providing a view or the whole person. Understanding how different people deal with medical issues‚ get medical care‚ and tools they use in different cultures. Culture plays an important role in how medical procedures are done in different countries. Using an assessment tool enables you to get a more complete picture of the individual. The practice of using a variety of questions to more
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[February 3 2011] Analysis of the future | Fast-Food industry The fast food industry in Canada is like no other in the world. Canada has long been a country of indulging and not caring about consequences. Stats Canada published that in 2004‚ 23.1% of the Canadian population was overweight. It has also been noted that the obesity rate seen a sharp increase during 1978 to 1980. The fast food industry did begin in the early part of the 1950’s‚ but didn’t truly take off till the 1980’s. In
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Cultural heritage of a people refers to the social and religious attitudes‚ beliefs‚ principles and conventions of behaviour inherited from the tradition stretching back to remote antiquity. It also includes in its connotations intellectual and artistic manifestations in the form of language‚ literature‚ visual and plastic art and music developed by the society from generation to generation. Viewed in this light‚ our cultural heritage is immensely vast and varied. India is the cradle of one of
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New Company President In search of a CEO‚ with such a large grouping of people to oversee‚ it will take a strong leader to fill the shoes of 25 years of dedicated service. The individual that meets the criteria‚ traits‚ and authoritarian leadership style should be able to set a tone and communicate the vision and focus of an organization by leading ethically. By setting realistic goals‚ provide positive feedback‚ encourage autonomy‚ practicing open communication‚ while having strong ethics and
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