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Case: GUJARAT AUTO - Eric Woodcock
QUESTIONS 1. How did Gujarat Auto handle the risk that their assumptions about the sales of engines to TPK might be too optimistic?
2. Were Gujarat Auto's costs for the new factory in Table 2 derived from a top-down or bottom-up process?
3. What were the answers to Dilip Patel's questions?
4. What other factors are relevant to this issue?
5. How do the changes in assumptions mentioned by the other managers affect the proposal?
6. What recommendation should Pradip Mistry make to Dilip Patel? Why?
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