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Consider the following scenario: Globex Corp. is considering opening a new division to produce units that it expects to sell at a price of $12,450

Consider the following scenario:

Globex Corp. is considering opening a new division to produce units that it expects to sell at a price of $12,450 each in the first year of the project. The company expects the cost of producing each unit to be $5,750 in the first year; however, it expects the selling price and cost per unit to increase by 2% each year.

Based on the preceding information, the company expects the selling price in the fourth year of the project to be______, and it expects the cost per unit in the fourth year of the project to be_______.

first blank:

13,476

12,953

12,699

13,212

2nd blank:

6,224

5,865

6,102

5,982

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