Kinder Company has collected the following data for one of its product lines: total production costs, $300,000;

Question:

Kinder Company has collected the following data for one of its product lines: total production costs, $300,000; total selling, general, and administrative expenses, $112,600; desired profit, $67,400; and production costs per unit, $40. Using the gross margin pricing method, compute a suggested selling price for this product that would yield the desired profit.