What is the net income under the worst case scenario

Reference no: EM13263549

Miller Mfg. is analyzing a proposed project. The company expects to sell 11,900 units, plus or minus 4 percent. The expected variable cost per unit is $7 and the expected fixed cost is $27,000. The fixed and variable cost estimates are considered accurate within a plus or minus 4 percent range. The depreciation expense is $24,000. The tax rate is 34 percent. The sale price is estimated at $10 a unit, give or take 4 percent.

What is the net income under the worst case scenario?

-$8,695.95
-$15,422.67
-$16,880.37
$-6,626.19
-$15,454.77

Reference no: EM13263549

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