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7 Required information [The following information applies to the questions displayed below.] Part 1 of 2 78 EagleEye Company, a manufacturer of digital cameras, is
7 Required information [The following information applies to the questions displayed below.] Part 1 of 2 78 EagleEye Company, a manufacturer of digital cameras, is considering entry into the digital binocular market EagleEye Company currently does not produce binoculars of any style, so this venture would require a careful analysis of relevant manufacturing costs to correctly assess its ability to compete. The market price for this binocular style is well established at $129 per unit. EagleEye has enough square footage in its plant to accommodate the new production line, although several pieces of new equipment would be required their estimated cost is $5,000,000. EagleEye requires a minimum ROI of 12% on any product line investment and estimates that if it enters this market with its digital binocular product at the prevailing market price it is confident of its ability to sell 29.000 units each year. Bits eBook Required: a. Identify the costs that EagleEye Company would consider for decision of entering the digital binocular market (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) Saved Submit Chapter 16 Practice - Part 10 Help Save & Exit ULCwproUCLIO , Y CUI POUCcquie w occurcu, C estimated cost is $5,000,000. EagleEye requires a minimum ROI of 12% on any product line investment and estimates that if it enters this market with its digital binocular product at the prevailing market price, it is confident of its ability to sell 29,000 units each year. 7 Part 1 of 2 Required: a. Identify the costs that EagleEye Company would consider for decision of entering the digital binocular market (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect) 0.78 points Raw materials and direct labor EBOOK Branch manager's salary. Print Design and engineering costs References Variable overhead and new fixed overhead costs. Facity costs Check Required information [The following information applies to the questions displayed below.] EagleEye Company, a manufacturer of digital cameras, is considering entry into the digital binocular market EagleEye Company currently does not produce binoculars of any style, so this venture would require a careful analysis of relevant manufacturing costs to correctly assess its ability to compete. The market price for this binocular style is well established at $129 per unit EagleEye has enough square footage in its plant to accommodate the new production line, although several pieces of new equipment would be required, their estimated cost is $5,000,000. EagleEye requires a minimum ROI of 12% on any product line investment and estimates that if it enters this market with its digital binocular product at the prevailing market price, it is confident of its ability to sell 29.000 units each year. b. Calculate the target cost per unit for entry into the digital binocular market. (Round your answer to 2 decimal places.) Target cost per unit
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