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ABC Co. has compiled these estimates for a new 1-year project: Sales of 1,650 units, 5 percent; sales price of $17 a unit, 1 percent;
ABC Co. has compiled these estimates for a new 1-year project: Sales of 1,650 units, 5 percent; sales price of $17 a unit, 1 percent; variable costs per unit of $7.49, 3 percent; fixed costs of $3,800, 1 percent; and depreciation of $2,200. The company bases its sensitivity analysis on the expected case scenario. If the company conducts a sensitivity analysis at a sales price of $16.25, what will be the earnings before interest and taxes? Multiple Choice $8,530 $8,709 $8,454 $8,265 $8,510
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