Find what is sales revenue under the worst case scenario

Reference no: EM1344392

Precise Machinery is analyzing a proposed project. The company expects to sell 2,300 units, give or take 5 percent. The expected variable cost per unit is $260 and the expected fixed costs are $589,000. Cost estimates are considered accurate within a plus or minus 4 percent range. The depreciation expense is $129,000. The sales price is estimated at $750 per unit, plus or minus 3 percent. What is the sales revenue under the worst case scenario?

Reference no: EM1344392

Questions Cloud

Mutual fund investment strategies : One way to diversify your portfolio is to invest in mutual funds. A mutual fund is a proficiently managed type of collective investment that pools money from several investors to purchase stocks, bonds, short-term money market investments or other se..

Voluntary workout versus bankruptcy : Write down the advantages and disadvantages of voluntary workout to resolve financial distress? What are the advantages and disadvantages of declaring bankruptcy to solve financial distress?

Find what will the total cost : Find what will the total cost be if 4,800 units are produced - firm can increase production by 1,000 units without increasing its fixed costs.

Determining the size of data in frame : How many fram need to sent? Determine the size of data in each frame?

Find what is sales revenue under the worst case scenario : The sales price is estimated at $750 per unit, plus or minus 3 percent and find what is the sales revenue under the worst case scenario?

Analysis and evaluation of international investments : International investment is a prudent part of any investment portfolio. International investment helps to diversify the investment portfolio. Although, international investments are beneficial, they are not risk free.

What is operating cash flow for this project : Explain what is the operating cash flow for this project - evaluate a project that will increase annual sales

Privilege to e-mail addresses in discount warehouse database : Checkout clerk with ____ privileges to e-mail addresses in discount warehouse database could view addresses but not change them.

External funding requirement : Your firm, Martin Industries, has experienced a higher than expected demand for its product line. The firm plans to expand its operation by 25% by spending $5,000,000 for an additional building.

User Account

All Pages