A custom kitchen cabinet storeowner wishes to use

target return-on-sales pricing to establish a price for a

typical section of cabinets in the new international

market.

Variable cost is $200 per unit, fixed cost is $44,000,

and the storeowner desires a target profit of 20

percent of sales on an annual volume of 400 cabinets.

What price should be charged for a typical cabinet

section?

Please show all work on how you got the answer please so I can understand.