A Bromont ski equipment manufacturer is thinking about developing and producing a new line of super-side-cut skis.The finance department has estimated that the NPV of this standalone project would be significantly positive relative to the initial investment.However, the CFO has serious concerns about the NPV analysis because it fails to take into account the significant negative interdependencies.What is the most likely issue here and how should it be accounted for?

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The Answer of A Bromont ski equipment manufacturer is thinking about developing and producing a new line of super-side-cut skis.The finance department has estimated that the NPV of this standalone project would be significantly positive relative to the initial investment.However, the CFO has serious concerns about the NPV analysis because it fails to take into account the significant negative interdependencies.What is the most likely issue here and how should it be accounted for?

A Bromont Ski Equipment Manufacturer Is Thinking About Developing and Producing