3. Caffrey Company makes and sells hats. The most popular hat has both variable and fixed costs. The variable expenses consist of $17 for COGS and $7 for SG&A. The fixed costs total $320,000. Caffrey expects to produce and sell 32,000 hats this year. Assuming a markup percentage of 41.18%, calculate the target selling price. 4. Jenkins Corporation provides the following information for a new product it recently introduced. Variable Costs Fixed Costs ROI Investment Sales $330,000 $550,000 14% $3,000,000 200,000 units a. What is the target selling price? b. What is the markup percentage