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Best-case scenario analysis

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Sloan Transmissions, Inc., has the following estimates for its new gear assembly project: price = $2,400 per unit; variable costs = $480 per unit; fixed costs = $2.9 million; quantity = 78,000 units. Suppose the company believes all of its estimates are accurate only to within ±10 percent. What values should the company use for the four variables given here when it performs its best-case scenario analysis? What about the worst-case scenario?

Reference no: EM131105477

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