Explain how can companies that are forced by demand

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Q. Assume that the after-tax required rate of return for Deer Valley is 8%, the income tax rate is 40%, also the MACRS recovery period is 10 years. Compute the after-tax NPV of the new lift also advise the managers of Deer Valley about whether adding the lift will be a profitable investment. Show calculations to support your answer.

Q. Explain how can companies that are forced by demand fluctuations to use contingent workers avoid the problems that can accompany their use?

Reference no: EM1378002

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