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Essay

GianAuto

Essay specific features

 

Issue:

Business

 

Written by:

Sandra C

 

Date added:

March 31, 2014

 

Level:

University

 

Grade:

B

 

No of pages / words:

2 / 485

 

Was viewed:

3859 times

 

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Essay content:

This forecast is dependent on our Sales, Materials, Supply and Depreciation Assumptions (see below). In sum, if GianAuto continues plant operations, it will recognize a significant cost savings every year after 2005. Sales, Materials, Supply, and Depreciation Assumptions: The following are assumptions that have significant impact on our recommendation...
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Consequently, materials and supply costs will increase by 10%, as will any unit-based depreciation for equipment. · Depreciation Assumption Up to this point, the company has chosen to use the units-of-production method for equipment depreciation. If GianAuto discontinues operations but does not sell or absorb the equipment into other operations, they must depreciate the equipment using the straight-line depreciation method since no units are being produced...
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