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sky BSB
Essay specific features
Written by:
David E
Date added:
June 28, 2014
Level:
University
Grade:
B
No of pages / words:
2 / 553
Was viewed:
5748 times
Rating of current essay:
Essay content:
(179.97)/1.10+ (139.86)/1.21+(71.25)/1.33)+ (30.99)/1.46+9.8/1.61+ (13.25)/1.77+ (169.14)/1.95+ 44.97/21.14+74.08/2.36+74.08/2.60/0.10)
If Sky TV competes and BSB exists= NPV (Sky TV) = 660.702
(I.e. (61.88)/1.10+ (34.39)/1.21+ (18.27)/1.33)+ 18.90/1.46+ 56.06/1.61+ 50.75/1.77+ 79.86/1.95+ 108.97/2...
displayed 300 characters
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In the given cash flow model; both companies starting '96 are already assumed to be having equal market share. So making a difference in the assumptions for their market share for years '93, '94 and '95 will not make a huge difference in the above-calculated NPV's. In such a scenario, NPV (BSB) will still be negative and NPV (Sky TV) will still be positive...
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