# Finance Assignment | Professional Writing

16.1 A proposed brewery in the Central European country of Dubiety will produce a beer —the “Dubi Dubbel”—for Grolsch N.V. of the Netherlands. A number of other European brewers have announced plans to produce and sell beer in the Dubi market. If too many breweries open, beer prices will fall. If some of these investment plans do not materialize, prices are likely to rise. The price of beer is determined exogenously and will be known with certainty in one year. Grolsch management must decide whether to begin production today or in one year. The following facts apply:

Save Time On Research and Writing
Hire a Pro to Write You a 100% Plagiarism-Free Paper.

Initial investment Price of beer in 1 year Variable production cost Fixed production cost Expected production Discount rate Io = D200,000,000; rises by 10% each year P1 = D25 or D75 with equal probability VC=D10 per bottle FC = D10,000,000 per year Q = 1,000,000 bottles per year forever i= 10% a. Draw a decision tree that depicts Grolsch’s investment decision. b. Calculate the NPV of investing as if it were a now-or-never alternative. c. Calculate the NPV (at t = 0) of waiting one year before deciding. d. Calculate the NPV of investing today, including all opportunity costs. e. Should Grolsch invest today or wait one year before making a decision?

Get Finance homework today

Save Time On Research and Writing
Hire a Pro to Write You a 100% Plagiarism-Free Paper.
Calculate the price
Pages (550 words)
\$0.00
*Price with a welcome 15% discount applied.
Pro tip: If you want to save more money and pay the lowest price, you need to set a more extended deadline.
We know how difficult it is to be a student these days. That's why our prices are one of the most affordable on the market, and there are no hidden fees.

Instead, we offer bonuses, discounts, and free services to make your experience outstanding.
How it works
Receive a 100% original paper that will pass Turnitin from a top essay writing service
step 1
Fill out the order form and provide paper details. You can even attach screenshots or add additional instructions later. If something is not clear or missing, the writer will contact you for clarification.
Pro service tips
How to get the most out of your experience with Homework Writing Services
One writer throughout the entire course
If you like the writer, you can hire them again. Just copy & paste their ID on the order form ("Preferred Writer's ID" field). This way, your vocabulary will be uniform, and the writer will be aware of your needs.
The same paper from different writers
You can order essay or any other work from two different writers to choose the best one or give another version to a friend. This can be done through the add-on "Same paper from another writer."
Copy of sources used by the writer
Our college essay writers work with ScienceDirect and other databases. They can send you articles or materials used in PDF or through screenshots. Just tick the "Copy of sources" field on the order form.
Testimonials
See why 20k+ students have chosen us as their sole writing assistance provider
Check out the latest reviews and opinions submitted by real customers worldwide and make an informed decision.
Psychology
Great work
Customer 463995, April 3rd, 2023
Art (Fine arts, Performing arts)
very professional and well done.
Customer 462485, May 9th, 2022
Other
Customer 459155, April 7th, 2022
Accounting
Thank you so much for the help, with your help that provided me with more time to learn the materials and do other assignments. I wish you existed back in 2005.
Customer 453041, June 3rd, 2020
Healthcare & Medical
Great work.
Customer 452441, May 11th, 2022
Nursing
thks
Customer 453939, January 27th, 2020
Military
good job
Customer 456821, June 11th, 2022
Psychology
Good discussion.
Customer 462359, April 4th, 2022
Education
Loved the fact that the writer took note of the corrections given and did a superb job. Good work
Customer 463679, March 3rd, 2023
Retail
great
Customer 463473, November 14th, 2022
Classic English Literature
Impeccable analysis.
Customer 462731, April 18th, 2022
Nursing
great paper
Customer 454007, June 23rd, 2020
11,595
Customer reviews in total
96%
Current satisfaction rate
3 pages
Average paper length
37%
Customers referred by a friend
OUR GIFT TO YOU
15% OFF your first order
Use a coupon FIRST15 and enjoy expert help with any task at the most affordable price.
Claim my 15% OFF Order in Chat