Calculating the best-case scenario values for each variable

 

Stinnett Transmissions, Incorporated, has the following estimates for its new gear assembly project: Price = $2,500 per unit; variable costs = $500 per unit; fixed costs = $.1 million: quantity = 80,000 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 and round your answer to the nearest whole number, e.g., 32.)