1. Using the following assumptions, develop a budget in pesos and dollars for this project:
Potential customers: 250,000
Price per unit: $ 5.50
Variable cost per unit: $ 2.50
Shipping and customs expenses: 10% per unit sold.
Annual lease expense: $150,000
Other annual fixed expenses: $40,000
Employee cost: $50,000
2. Explain why there is uncertainty surrounding the cash flows of this project.