Alternate problem B The Havana Company is introducing a new product and must decide its price. An estimated demand schedule for the product is as follows:

Price	Units demanded
$ 5	20,000
6	18,000
7	14,000
8	12,000
9	9,000
10	8,000

Estimated costs are as follows:

Variable manufacturing costs	$2.20 per unit
Fixed manufacturing costs	$20,000 per year
Variable selling and administrative costs	$1.00 per unit
Fixed selling and administrative costs	$5,000 per year

Prepare a schedule showing the total revenue, total cost, and total profit or loss for each selling price.

Which price should Havana select? Explain.