Precise Machinery is analyzing a proposed project. The company expects to sell 3,500 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

Sales revenue= $2,418,937.5

Explanation:

Giving the following information:

The company expects to sell 3,500 units, give or take 5 percent.

The sales price is estimated at $750 per unit, plus or minus 3 percent.

The sales revenue worst-case scenario is the one with the lowest units sold and the lowest selling price per unit.

Units sold= 3,500*0.95= 3,325

Selling price= 750*0.97= $727.5

Sales revenue= 3,325*727.5= $2,418,937.5

whole quiz

1. the sum of all activities involved in getting high-quality products into the marketplace

2.operations

3. the principle of looking at the supply chain as a whole in order to improve the overall flow through the system.

4. produced; performed

5. activities producing tangible products, such as radios, newspapers, buses, and textbooks.

6. activities producing intangible and tangible products, such as entertainment, transportation, and education.

7.   customer focus

8. analyzing a competitor's products to identify desirable improvements

9. the systematic direction and control of the processes that transform resources into finished projects that create value for and provide benefits to consumers.

10. operation management.

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answer; consideration;