Cinram Machines Has the Following Estimates for Its New Gear

Cinram Machines has the following estimates for its new gear assembly project: price = $1,870 per unit; variable costs = $949 per unit; fixed costs = $1.4 million; quantity = 42,000 units.Suppose the company believes all of its estimates are accurate only to within ± 3 percent.What value should the company use for its total variable costs when performing its best-case scenario analysis?

A) $38,578,064
B) $39,822,128
C) $38,216,051
D) $41,802,137
E) $40,864,538