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Novo Pork is analyzing a proposed project. The company expects to sell 1,500 units, give or take 4%. The expected variable cost per unit is
Novo Pork is analyzing a proposed project. The company expects to sell 1,500 units, give or take 4%. The expected variable cost per unit is $25 and the expected fixed costs are $23,500. Cost estimates are considered accurate within a plus or minus 7% range. The depreciation expense is $6,500. The sale price is estimated at $62 a unit, give or take 2%. What is the amount of the fixed cost per unit under the worst-case scenario?
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