Miller Mfg. is analyzing a proposed project. The company expects to sell 13,000 units, plus or minus 4 percent. The expected variable cost per unit is $7.00 and the expected fixed cost is $36,000. The fixed and variable cost estimates are considered accurate within a plus or minus 6 percent range. The depreciation expense is $31,000. The tax rate is 34 percent. The sale price is estimated at $16.00 a unit, give or take 5 percent. What is the net income under the worst case scenario?

Select the correct choice:

$39,678.02

$18,436.70

$27,934.40

$37,432.10

$38,929.38