Your company has a policy that to start a new product line one of the requirements is the manager present 3 separate budgets to the capital allocation committee as part of the annual budget review.

For each of these what would be the benefits and downside:

1.A worst-case scenario assuming what could go wrong, such as product delays or lower sales than expected.

2. A break-even budget that tells them what's the minimum they need to produce.

3. A best-case scenario assuming that everything works as the manage anticipated.

Why would this be a good idea, and how would it help determine if the start-up is viable