Stinnett Transmissions, Incorporated, has the following estimates for its new gear assembly project: Price $1,220 per unit; variable costs = $3.75 million; quantity = 90,000 units. Suppose the company believes all of its estimates are accurate only to within ±15 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? (Do not round intermediate calculations.) $380 per unit; fixed costs = Scenario Units Sales Unit Price Unit Variable Cost Fixed Costs Base Best Worst

Essentials of Business Analytics (MindTap Course List)
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Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson
Publisher:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson
Chapter5: Probability: An Introduction To Modeling Uncertainty
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Problem 29P: The Siler Construction Company is about to bid on a new industrial construction project. To...
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Stinnett Transmissions, Incorporated, has the following estimates for its new gear
assembly project: Price = $1,220 per unit; variable costs =
$3.75 million; quantity = 90,000 units. Suppose the company believes all of its estimates
are accurate only to within ±15 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? (Do not round intermediate calculations.)
$380 per unit; fixed costs =
Units Sales
Unit Price
Unit Variable Cost
Fixed Costs
Scenario
Base
Best
Worst
Transcribed Image Text:Stinnett Transmissions, Incorporated, has the following estimates for its new gear assembly project: Price = $1,220 per unit; variable costs = $3.75 million; quantity = 90,000 units. Suppose the company believes all of its estimates are accurate only to within ±15 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? (Do not round intermediate calculations.) $380 per unit; fixed costs = Units Sales Unit Price Unit Variable Cost Fixed Costs Scenario Base Best Worst
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