Claire's Fashion, Inc. sells customized handbags. Currently, it sells 21,000 handbags annually at an average price of $89 each. It is considering adding a lower-priced line of handbags that sell for $62 each. The firm estimates it can sell 7,000 of the lower-priced handbags but will sell 3,000 less of the higher-priced handbags by doing so. They also sell 12,500 scarves each year at an average price of $37 each.

What is the amount of the annual sales that should be used when evaluating the addition of the lower-priced handbags?