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Problem 1: Plentiful Products is analyzing a proposed project with expected sales of 6300 units, +-5%. The expected variable cost per unit is $8 and the expected fixed costs are $22000. Cost estimates are considered accurate within a range of +-4%. The depreciation expense is $6400. The sale price is estimated at $17 per unit, +-1%. What is the sales revenue under the pessimistic case scenario?
Multiple choice:
Option 1: $107,100Option 2: $125,685Option 3: $94,684Option 4: $106,029Option 5: $100,728
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