Winnebagel Corp. currently sells 48,870 motor homes per year at $41,872 each, and 10,693 luxury motor coaches per year at $92,128 each. The company wants to introduce a new portable camper to fill out its product line; it hopes to sell 21,261 of these campers per year at $19,020 each. An independent consultant has determined that if Winnebagel introduces the new campers, it should boost the sales of its existing motor homes by 2,774 units per year, and reduce the sales of its motor coaches by 567 units per year. What is the amount to use as the annual sales figure when evaluating this project?
Winnebagel Corp. currently sells 48,870 motor homes per year at $41,872 each, and 10,693 luxury motor coaches per year at $92,128 each. The company wants to introduce a new portable camper to fill out its product line; it hopes to sell 21,261 of these campers per year at $19,020 each. An independent consultant has determined that if Winnebagel introduces the new campers, it should boost the sales of its existing motor homes by 2,774 units per year, and reduce the sales of its motor coaches by 567 units per year. What is the amount to use as the annual sales figure when evaluating this project?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Winnebagel Corp. currently sells 48,870 motor homes per year at $41,872 each, and 10,693 luxury motor coaches per year at $92,128 each. The company wants to introduce a new portable camper to fill out its product line; it hopes to sell 21,261 of these campers per year at $19,020 each. An independent consultant has determined that if Winnebagel introduces the new campers, it should boost the sales of its existing motor homes by 2,774 units per year, and reduce the sales of its motor coaches by 567 units per year. What is the amount to use as the annual sales figure when evaluating this project?
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