What is the amount to use as annual sales figure

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Reference no: EM132001223

Winnebagel Corp. currently sells 26,000 motor homes per year at $50,000 each, and 6,000 luxury motor coaches per year at S100,000 each. The company wants to introduce a new portable camper to fill out its product line; it hopes to sell 10,000 of these campers per year at $15,000 each. An independent consultant has determined that if Winnebagel introduces the new campers, it should boost the sales of its existing motor homes by 2,500 units per year, and reduce the sales of its motor coaches by 1,500 units per year. What is the amount to use as the annual sales figure when evaluating this project? Why?

Reference no: EM132001223

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