What is the amount to use as the annual sales figure when evaluating this project? Note: Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32. Net sales $ 81,063,000 X
What is the amount to use as the annual sales figure when evaluating this project? Note: Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32. Net sales $ 81,063,000 X
Fundamentals of Financial Management (MindTap Course List)
14th Edition
ISBN:9781285867977
Author:Eugene F. Brigham, Joel F. Houston
Publisher:Eugene F. Brigham, Joel F. Houston
Chapter12: Cash Flow Estimation And Risk Analysis
Section: Chapter Questions
Problem 16P: REPLACEMENT CHAIN The Fernandez Company has an opportunity to invest in one of two mutually...
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Can someone please help me answer this question using Excel? Previous helper did not help question question is wrong even after I reworked it.
![Problem 9-2 Relevant Cash Flows [LO 1]
Winnebagel Corporation currently sells 29,300 motor homes per year at
$79,500 each and 8,300 luxury motor coaches per year at $121,500 each. The
company wants to introduce a new portable camper to fill out its product line; it
hopes to sell 24,300 of these campers per year at $25,500 each. An
independent consultant has determined that if the company introduces the
new campers, it should boost the sales of its existing motor homes by 3,900
units per year and reduce the sales of its motor coaches by 980 units per year.
What is the amount to use as the annual sales figure when evaluating this
project?
Note: Do not round intermediate calculations and round your answer to the
nearest whole number, e.g., 32.
Net sales
$
81,063,000 X](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F483c3d17-1621-47af-bfd2-86acecf64938%2F0d0a3d9e-96f9-4067-900e-1da9375e844f%2F21xcu5_processed.png&w=3840&q=75)
Transcribed Image Text:Problem 9-2 Relevant Cash Flows [LO 1]
Winnebagel Corporation currently sells 29,300 motor homes per year at
$79,500 each and 8,300 luxury motor coaches per year at $121,500 each. The
company wants to introduce a new portable camper to fill out its product line; it
hopes to sell 24,300 of these campers per year at $25,500 each. An
independent consultant has determined that if the company introduces the
new campers, it should boost the sales of its existing motor homes by 3,900
units per year and reduce the sales of its motor coaches by 980 units per year.
What is the amount to use as the annual sales figure when evaluating this
project?
Note: Do not round intermediate calculations and round your answer to the
nearest whole number, e.g., 32.
Net sales
$
81,063,000 X
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