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MasterTech is a new software company that develops and markets productivity software for municipal government applications. Net sales are uniformly distributed between $ 6 0

MasterTech is a new software company that develops and markets productivity software for municipal government applications. Net sales are uniformly distributed between $600,000 and $1,200,000. Cost of sales is normally distributed with a mean of $540,000 and a standard deviation of $20,000. Selling expenses has a fixed component of that is uniformly distributed between $75,000 and $110,000. Administrative expenses are normal with a mean of $50,000 and standard deviation of $3,500. Variable expenses are estimated to be 7% of net sales and interest expenses are $10,000. The company is taxed at a 50% rate and the company is interested in a risk profile of net income.
Net income can be found using the following set of equations:
Gross profit = net sales cost of sales
Net operating profit = gross profit administrative expenses selling expenses
Net income before taxes = net operating profit interest expenses
Net income = net income before taxes taxes
Which of the inputs is uncertain and what parameters are associated with those uncertain inputs?

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