1. Schopp Corporation makes a mechanical stuffed alligator that sings the Martian national anthem. The following information is available for Schopp Corporation's anticipated annual volume of 524,000 units.

		Per Unit			Total
Direct materials		$ 6
Direct labor		$11
Variable manufacturing overhead		$17
Fixed manufacturing overhead					$3,144,000
Variable selling and administrative expenses		$17
Fixed selling and administrative expenses					$1,572,000

The company has a desired ROI of 25%. It has invested assets of $31,440,000.

a.) Compute the total cost per unit.

b.) Compute the desired ROI per unit.

c.) Compute the markup percentage using total cost per unit.

d.) Compute the target selling price.