The selling price of a product has been set at $300 per unit, and at that price the company expects to sell 1,000 units per year. The company requires a return of 20% p.a. on its investment of $1,250,000 in the product. What is the target cost per unit? (006 x 300=300,000

The selling price of a product has been set at $300 per unit, and at that price the company expects to sell 1,000 units per year. The company requires a return of 20% p.a. on its investment of $1,250,000 in the product. What is the target cost per unit? (006 x 300=300,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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