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Australian Fireplaces Expects to Sell 1200 Gas Fireplaces in 2019

Question 40

Multiple Choice

Australian Fireplaces expects to sell 1200 gas fireplaces in 2019 at an average price of $2400 each.It believes that unit sales will grow between −5% and +5% per year and prices will rise or fall by as much as 5% per year.Forecast sales revenue for 2021 if the number of units sold increases by 5% per year and prices remain flat.


A) $2,880,000
B) $3,168,000
C) $3,333,960
D) $3,175,200

Correct Answer:

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