Premium Essay

Robert Montoya

In: Business and Management

Submitted By airaafrica07
Words 974
Pages 4
De La Salle University – Manila
Ramon V. del Rosario College of Business

Critique Paper on
Robert Montoya, Inc. (A)

In Partial Fulfillment of the Requirements in FNC535M – Financial Management

January 20, 2016

Background of the Case:
Robert Montoya, Inc. (RMI), one of the biggest wine producers in the United States, is planning to expand on its product offerings.

RMI is owned by Robert Montoya, his brother and a few partners which sells wine throughout the world. However, one of its products, wine coolers, has been recording a decline in sales. To address this, the management is looking into expanding its product offerings, to include Suave Mauve, a premium variety of wine which uses the cabernet sauvignon grape. The new product is targeted for the middle-to upper-income professionals. It would be positioned between the traditional table and wines and super premium table wines.

The management has assigned Sarah Sharpe, RMI FVP for Finance, to assess the new venture along with two other possible investments.

Below are the details of the planned project:

ITEM | REMARKS | Production facility location | At the unused section of the main plant | New Machinery | $2,200,000 | Shipping Cost | $80,000 | Installation | $120,000 | Increase in inventory due to the new wine variant | $100,000 | Cash flow | Assumed to occur at the time of initial investment | Machine remaining economic life | 4 years | Salvage value after 4 years | $150,000 | Depreciation under MACRS 3 year class life | Depreciation allowance 0.33 (Yr.1), 0.45 (Yr.2), 0.15 (Yr.3), 0.07 (Yr.4) | Site rehabilitation (previous year) | $300,000 | Sales projection for 4 years | 100,000 bottles at $40 each | Cost per bottle | $32 | Cannibalization effect | ($60,000) | Tax savings | $40,000 | Federal-plus-state tax rate | 40% | Cost of Capital (WACC) | 10%

Similar Documents

Premium Essay

The Buttercup Quotes

...To achieve your passion, you have to work hard for it. Buttercup lives on a farm in the country of Florin. When she orders her farm boy, Westley, to do orders, he answers, “As you wish.” Buttercup eventually comes to realization that Westly was saying, “I love you.” Westly leaves the farm to seek his fortune, so they can become married. When on his mission, his ship is attacked by Dread Pirate Roberts and was believed to be dead. Five years later, Buttercup gives up waiting for Westly to return and agrees to marry Prince Humperdinck. Before the wedding, she was kidnapped by Fezzik, Vizzini, and Inigo Montoya. The three outlaws brought her to the rival’s shores where they would kill her. On the way to the rivals shores, the outlaws encounter a problem, a man in black followed them trying to capture Buttercup. Overcoming all the outlaws’ tricks and trades, the man in black eventually captured Buttercup and revealed himself as Dread Pirate Roberts. In anger, Buttercup pushed him down the slope. Tumbling down the slope he said, “As you wish” to reveal himself as Westly. They escaped from Humperdinck as he was closing in on capturing them. In a rush of time, they ran for the dangerous Fire...

Words: 963 - Pages: 4

Premium Essay

Multiple Sclerosis In The Great Gatsby

...Fortune 500 CEO’s, to failed business startups, risks can reap rewards or decimate dreams. Hannah McGoldrick writes about the struggle of Kayla Montgomery, who faces a currently incurable disease called multiple sclerosis or MS that causes her legs to go numb. Despite this, she still runs for her school’s track and cross-country teams. In F. Scott Fitzgerald’s The Great Gatsby, Gatsby chases after his love interest, Daisy, and lives under the illusion that she will leave her husband for him. The novel revolves around his life, concluding in his tragic death. Rob Reiner’s The Princess Bride plays on the idea of true love and its power. Princess Buttercup’s true love Westley teams up with a giant named Fezzik, and a swordsman named Inigo Montoya to prevent her from marrying Prince Humperdink. Based on the sources used, facing challenges reveals an individual’s true character, and contrary to what one might believe, taking risks cannot change the inevitable. Facing challenges reveals an individual’s true character because they force an individual to take off their facade, and taking risks cannot change the inevitable because certain outcomes will not change with just effort. Characters show their true colors in the face of challenges and adversity. McGoldrick writes that “one of the most prominent symptoms, numbness in her legs, will likely never be reversed. Whenever she races hard, Montgomery’s legs go numb, but that doesn’t stop her from running” (McGoldrick, 1). Kayla has to...

Words: 899 - Pages: 4

Premium Essay

Essays and Reading

...delights in verbally abusing the farm hand Westley, whom she refers to as "farm boy", by demanding that he perform chores for her. Westley's only answer is "As you wish". She eventually realizes that what he is really saying is, "I love you." After Buttercup realizes that she truly and strongly loves him as well and confesses her mutually strong romantic feelings, Westley leaves to seek his fortune so that they can marry. Buttercup later receives word that the Dread Pirate Roberts, who is notorious for killing all those whose vessels he boards, attacked his ship at sea. Believing Westley dead, Buttercup sinks into a period of abject despair, declaring "I will never love again". Some time later she reluctantly agrees to marry Prince Humperdinck, the heir to the throne of Florin, due to a law allowing the prince to choose any unmarried woman as his bride, though she makes it clear that she does not love him. Before the wedding, a trio of outlaws—the Sicilian criminal genius Vizzini, the Spanish fencing master Inigo Montoya, and the enormous and mighty Turkish wrestler Fezzik—kidnap Buttercup. A masked man in black follows them across the sea and up the Cliffs of Insanity, whereupon Vizzini orders Inigo to stop him. Before the man in black reaches the top of the cliff, there is a flashback of Inigo's past in which the novel reveals that he is seeking revenge on a six-fingered man who killed his father. When the man in black arrives, Inigo arranges a fair fight, allowing his opponent to...

Words: 1113 - Pages: 5

Premium Essay

The Princess Bride Research Paper

...Westley had been Dread pirate Roberts for two years returns to save Buttercup from Prince Humperdinck. When she has been kidnapped also when she was to marrying him in the ceremony. When she thought Westley was not going to return to her, she wanted to kill herself. Westley was waiting in the bed when she returns after the ceremony. Inigo that was a bad man seeking revenge for his father death, he realizes by helping Westley, he will be able to take revenge. So he saves Westley when he got kidnaped by prince Humperdinck that thought that killed Westley. Inigo gets a miracle and revives Westley. Inigo informs Westley the plan was to go inside the castle to stop the ceremony and find Rugen and kill him. Almost defeated Inigo managed to find the strength within and as Rugen pleaded...

Words: 700 - Pages: 3

Premium Essay

Target Market

...New Product Launch Marketing Plan Marnice Gaston, Heather Manypenny, Yesenia Rodriguez, Rama Krishna Kullapally, Aya Tsuchiya MKT/571 April 27, 2015 Isaac Owolabi New Product Launch Marketing Plan Target Summary The first Target store opened in 1962 in the Minneapolis suburb of Roseville, Minn., with a focus on convenient shopping at competitive discount prices. Today, Target remains committed to providing a one-stop shopping experience for guests by delivering differentiated merchandise and outstanding value with its Expect More. Pay Less® brand promise. Target currently is the second largest general merchandise retailer in America, with Target.com consistently being ranked as one of the most-visited retail Web sites. Target is recognized as a leader in innovation across the retail industry. From pioneering the concept of designer partnerships to consistently being best in class in store design, Target remains focused on not only meeting, but exceeding, its guests' needs. To remain relevant to its guests over time, Target continually reinvents its stores, including layout, presentation and merchandise assortment, to create an engaging shopping experience. BMW Summary BMW can trace its roots back to Karl Rapp and Gustav Otto. In 1916, the Flugmaschinenfabrik Gustav Otto Company had merged into Bayerische Flugzeug-Werke AG (BFW) at government behest. Elsewhere, in 1917, the Rapp Motorenwerke Company morphed into Bayerische Motoren Werke GmbH, which was duly converted...

Words: 2891 - Pages: 12

Free Essay

Guitars

...In the film The Princess Bride, Westley the main character, would be considered a hero. He goes through a journey to get back with his true love and overcomes many obstacles. Westley's journey begins when he is believed to be dead and prince Humperdink announces that he will marry Buttercup, his wife. After this, she is kidnapped by Inigo, Vizzini, and Fezzik.           Westley now goes on for the search for his love. The only thing standing between him are the three bandits. His first obstacle is to face Inigo, the sword fighter. Westley and Inigo have a face off and Westley proves of being a hero by showing his skill and defeating the bandit. Up next is Fezzik the giant. Westley has the disadvantage of being smaller but still manages to defeat him. Then he finally gets to Buttercup but still has to face Vizzini the smart leader. Westley and Vizzini have a battle of wits with poison and wine. Vinnizi tries to outsmart him but he is no match because Westley already has by becoming immune to the poison. Vinnizi ends dying and Westley defeating him with his intelligence. This proves him of being a hero because he went through this to save and get back his love. After Westley and Buttercup are finally together, the prince Humperdink is on the chase for his wife to be. Humperdink spots Buttercup and Westley together. They make a run for it to try to get away from them and end up in a terrifying forest. Westley and butter are walking through the forest and...

Words: 442 - Pages: 2

Premium Essay

The Princess Bride Chapter 5

...The Princess Bride 1.What is ironic about Fezzik's ability to fight? It is ironic that Fezzik is a great fighter, but he hates fighting. 2.What is Fezzik's greatest fear? Fezzik's greatest fear is being alone forever. 3.What do Fezzik and Inigo have in common? Both Fezzik and Inigo both fear of being alone and they are both talented fighters. They also, both got defeated by the man in black. 4.Why does the man in black not kill them? The man in black doesn’t kill Fezzik and Inigo, because they both are very talented. 5.How is Vizzini more dangerous that the other two? Both Fezzik and Inigo are dangerous physically, but Vizzini is smart, and being smart is more dangerous that being dangerous physically. 6.Explain the quote “Never get involved in a land war in Asia”. The quote “Never get involved in a land war in Asia”, means that Asia has a lot of land, and you would lose if you ever tried to fight there. 7.What is ironic about the man in black's test with the iocane powder? What type of irony is this? It is ironic that both cups had iocane powder in them. Vizzini tried to trick the man in black by switching their glasses, not knowing that both of the glasses had iocane powder in them. This is known as situational irony. 8.What is Vizzini's fatal flaw? Vizzini's fatal flaw, is that he is to cocky about his intelligence, which caused him his own death. 9.In the early part of the story Buttercup’s kidnappers are known only as the Spaniard,...

Words: 738 - Pages: 3

Premium Essay

Hero Journey

...deserves to live in. Campbell’s second step is the refusal of the call to adventure. Westley wanting to marry Buttercup and provide everything her heart desires does not refuse his call to adventure. Once the hero has committed to his quest, his or her supernatural aid, guide, or magical helper in unveiled. Westley in a roundabout way completes this step by becoming the Dread Pirate Roberts. Becoming the Dread Pirate Roberts allowed him to create an alter ego raising him up from being a poor farm boy to a legendary feared Pirate and ultimately allowing him to amass a small fortune. Westley completes Campbell’s next step, the crossing of the first threshold, when he left the farm to set sail on the ship. Although this is out of order for Campbell’s Hero Journey, Westley still completes this step. The last step in the departure series is the belly of the whale. This step is often mistaken as the low point of the Hero’s journey, but is actually more of a transitioning between old and new. When Westley is captured by the previous Dread Pirate Roberts and is offered the job to become the new Dread Pirate Roberts, he’s shedding his old...

Words: 979 - Pages: 4

Premium Essay

The Princess Bride

...adventure. The plot was talked about a kind and beautiful girl Buttercup with her true love Westley, they fell in love with each other. But the poor Westley wanted to give a better life for Buttercup, so he left the village. However, Westley's ship did not reach his destination, someone said that he was killed by pirates. After five years, heartbroken Buttercup became the fiancee of Prince Humperdinck, but she did not love him and her heart still pining for her true love, Westley. However, Buttercup unexpectedly met Westley again, but Buttercup was kidnapped by the evil prince, and forced her to marry him. At this time, Westley has already been a strong and brave pirate. To rescue his true love, Westley sought the superior swordsman Inigo Montoya and giant Fezzik for saving the princess. The movie adopts the way of the play within a play to describe the whole story so that it can make the audience feel themselves like the grandson who was listening to the story within the plot. In addition, they all perfectly master the characteristic of the role in the movie. This movie is funny, but also contains the meaningful that teach us do not judge a book by its cover such as the giant who seems like an evil by his features, but he is actually a good man. He even helps Westley to rescue the princess. Every fairy tales always give people hope so that we can continue to face this real world positively just like at the end of the story, the princess and her lover have a happy ending, and...

Words: 332 - Pages: 2

Free Essay

Training Excellent

...Wegman Food Markets. Wegman Food Market become famous and widely respected in the industry not only because of their success in sales volume but also because of their success in training their workers. This is due to the fact that many observers believe that the big reasons why the company stands out is because the training of the employees. Satisfaction was clearly shown in the customer face whenever they step out from the Wegman Food Market as they are happy buying and serve well by the workers. Wegman Food Market is a regional supermarket chain headquartered in Rochester, New York which is one of the top 75 United Stated supermarkets. The company was privately held and is a family-owned company started in 1916 by the Wegman Family. Robert Wegman is the chairman until his death in April 2006. Currently, Robert’s son Danny Wegman is holding the position as CEO of the company and Collen Wegman, Danny’s daughter is the president of the company. For this year, Wegmans Food Market are listed in third place in the Fortune “100 best company to work for”. Although it falls to the third places ranked behind Google Inc. and Genetech Inc. in 2007, but it holds...

Words: 2430 - Pages: 10

Premium Essay

Robert Browning

...Robert Browning Robert Browning was born on May 7, 1812, in Camberwell, England. His mother was an accomplished pianist and a devout evangelical Christian. His father, who worked as a bank clerk, was also an artist, scholar, antiquarian, and collector of books and pictures. His rare book collection of more than 6,000 volumes included works in Greek, Hebrew, Latin, French, Italian, and Spanish. Much of Browning's education came from his well-read father. It is believed that he was already proficient at reading and writing by the age of five. A bright and anxious student, Browning learned Latin, Greek, and French by the time he was fourteen. From fourteen to sixteen he was educated at home, attended to by various tutors in music, drawing, dancing, and horsemanship. At the age of twelve he wrote a volume of Byronic verse entitled Incondita, which his parents attempted, unsuccessfully, to have published. In 1825, a cousin gave Browning a collection of Shelley's poetry; Browning was so taken with the book that he asked for the rest of Shelley's works for his thirteenth birthday, and declared himself a vegetarian and an atheist in emulation of the poet. Despite this early passion, he apparently wrote no poems between the ages of thirteen and twenty. In 1828, Browning enrolled at the University of London, but he soon left, anxious to read and learn at his own pace. The random nature of his education later surfaced in his writing, leading to criticism of his poems' obscurities. In 1833...

Words: 2803 - Pages: 12

Premium Essay

Tgether We Stand Letter

...Together We Stand Letter Outline Heydi Maldonado – Paz Edgar Serrano HUM/114 August 04, 2011 Randy Stinnett Outline: Together we stand letter I. Introduction: Several children and adults in our community have been developing extensive and similar illnesses. This is not clearly a case of genetics; this is a problem that started since the development planning and execution of our community The purpose of this letter is to let the people know what is happening in our community and create conscious to step up and unite in a fight for justice. “An informed citizen is the only true repository of the American will.” Thomas Jefferson (Official Website of Erin Brockovich, 2010). II Body Paragraph #1 A. Due to the unsafe chemical disposal the town’s water has been contaminated with chromium 6. * Health effects to the public: cancer, cramps, or paralysis and may also damage the respiration tract. * Upon termination chromium acid is formed, which decomposes the organs. * Wastewater is being flushed into our water every day. III Body Paragraph #2 B. Company’s unsafe chemical-disposal. * The company has been practicing unsafe disposal for twenty plus years. * Keeping it a secret from the community. * How could this have happened? IV Body Paragraph # 3 C. Action that needs to be taken. * Minimize the amount of...

Words: 422 - Pages: 2

Free Essay

Governance in Zimbabwe

...Name Lawrence Surname Mukuku Course Governance in Zimbabwe 1. The negotiations for transition in Zimbabwe were essentially about preserving white interests in Zimbabwe. Discuss in relation with the (i) The Home-Smith Settlement Proposals, (ii)Détente, (ii) The Anglo-American Initiative, (iii)The Geneva Conference and (iv) The Malta Conference During the struggle of Zimbabwe, when the war between the nationalist and the Smith regime was intensifying efforts were made by various countries such as Britain, South Africa, United States of America, Zambia, Botswana and Malawi to find or to implement peaceful ways by which Southern Rhodesia would achieve its independence other than violence. These strategies included the Home Smith proposals, Détente, The Anglo-American Initiative, The Geneva Conference and The Malta Conference. However these failed to achieve independence in Southern Rhodesia as they entrenched the interests of the whites, and failed to gain favour in the eyes of the nationalist. This essay will look at how each of these talks entrenched the interest of the white settlers. Home- Smith settlement proposals 1971-4 The period from 1971-1974 was a period marked by the Anglo- Rhodesian settlement proposals. For the first time during this period Africans became the masters of their own fate. The period also marked the emergence of African National Council by Muzorewa and Zvobgo and the intensification of the armed struggle. (Ngunyoni...

Words: 2266 - Pages: 10

Free Essay

Human Clonoing

...| Become A Critic | | | By Robin Ornellas | 11/6/2011 | | Criminal Minds, lets us see what a serial killer might feel, as they portray there victims through a profilers mind. There is a team of 5 FBI’s, that lives and breathes, every move of a serial killer, that is about to kill again on the streets. Every one of the profile team has an ability to understand, what the next move might be to their UN sub (serial killer). As they visit a crime scene together, they sort out in their profile minds, why the killer has picked their victims and why they like to kill all of the same kinds. As the profilers from the FBI talks out and brainstorms the evidence together, they make you feel as you was thinking and feeling what the serial killer was at the time of the murder. One scene, made you feel that it could have been a sexual predator, because of some kind of sexual abuse they might have went through as a child, from their mother or father. The brutality of the murderer on his woman victims would kill and cut their eyes out before he would sexually abuse them. The profilers combined their thoughts together and came up with all the victims were in the age range from 30-40 and all had burnet hair, like his mother. The computer whiz profiler punches in all the criminals, with a sexual charge and that might have been an orphan because of sexual abuse as a child. It narrowed it down to about 5 UN subs to choose from, in the city the murders happened in. The profilers...

Words: 372 - Pages: 2

Free Essay

Home Depot

...MIDTERM – THE HOME DEPOT’S ORGANIZATIONAL COMMUNICATION Organization Communications Mgmt 305 Potomac College  Abstract This paper will analyze the culture of The Home Depot and its communication practices. This will be accomplished by examining the dimensions of the organization’s structure. The Home Depot’s sociability, power distribution and job autonomy, degree of structure, achievement rewards, opportunities for growth, tolerance for risk and change, conflict tolerance, and emotional support will be used to determine if the organization has a Theory Y culture.  Introduction Home Depot is considered to be one of the top ranking home improvement organizations. The mission statement of this organization was formulated around being “committed to maximizing long term shareholder value while supporting management in the business and operations of the company, observing the highest ethical standards and adhering to the laws of the jurisdictions within which the company operates” (Homer TLC INC, 2010). The Home Depot transformed the “home improvement industry” by providing a well round reputation for products, corporate governance and strong values within the community. The purpose of The Home Depot remains to build relationships, have social responsibility, and concrete ethics as an organization. Employees are respected, offered growth and reputable incentive plans. Public policy makers and Home Depot collaborates on ideas to assure prosperity in our society. Home...

Words: 2579 - Pages: 11