Business
Business, 06.12.2020 18:00, Hrjohnson2004

Discuss the following statement: “We don’t want individual plant managers to get involved in the firm’s tax position. So instead of telling them to take the pretax cash flows and discount rate of 10% we just tell them to take the pretax cash flows and discount at 15%. With a 35% tax rate, 15% pretax generates approximately 10% after tax.

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Discuss the following statement: “We don’t want individual plant managers to get involved in the fir...

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