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What a three-month delay costs
The prompt
FlexiPack (fictional), a flexible packaging maker in India, uses 100,000 tonnes of resin a year. The resin price rises by USD 200 a tonne. Its contracts pass the change on to customers, but only after three months. How much margin does it lose before prices catch up, and what share of its yearly EBITDA of USD 40 million is that? All figures are illustrative.
Your interviewer will share data as you ask for it. Ask clarifying questions, state a hypothesis, then lay out your structure out loud before you calculate.
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