The Adept Co. is analyzing a proposed project. The company expects to sell 3,500 units, give or take 10 percent. The expected variable cost per unit is $7 and the expected fixed costs are $12,500. Cost estimates are considered accurate within a plus or minus 5 percent range. The depreciation expense is $6,000. The sale price is estimated at $15 a unit, give or take 2 percent. The company bases their sensitivity analysis on the expected case scenario.

What is the contribution margin under the expected case scenario?

What is the amount of the fixed cost per unit under the pessimistic case scenario?

The company is conducting a sensitivity analysis on the sales price using a sales price estimate of $18. Using this value, the earnings before interest and taxes will be?

The company conducts a sensitivity analysis using a variable cost of $11. The total variable cost estimate will be?