1.) Probability Concepts A sales manager estimates that the mean expected sales volume of a proposed new product for the following year is 900,000 units, standard deviation of 450,000 units and with the following financial data below: ● Selling price Variable cost/unit Fixed Cost/vear - P 8.00 - P 5.00 - P1,800,000.00 Calculate the ff.: a) Break even point for the new product; b) The probability of at most break-even point; c) The probability that the profits from the new product would be at most P 500,000.00; d) The probability that the new product would cause us to lose of P 300,000.00 or less.

1.) Probability Concepts A sales manager estimates that the mean expected sales volume of a proposed new product for the following year is 900,000 units, standard deviation of 450,000 units and with the following financial data below: ● Selling price Variable cost/unit Fixed Cost/vear - P 8.00 - P 5.00 - P1,800,000.00 Calculate the ff.: a) Break even point for the new product; b) The probability of at most break-even point; c) The probability that the profits from the new product would be at most P 500,000.00; d) The probability that the new product would cause us to lose of P 300,000.00 or less.

Entrepreneurial Finance

6th Edition

ISBN:9781337635653

Author:Leach

Publisher:Leach

Chapter9: Projecting Financial Statements

Section9.4: Estimating Additional Financing Needed To Support Growth

Problem 3CC

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