Question
(b) EKI Enterprise would like to use target costing for a new product that is under consideration. At a selling price of RM84 per unit,
(b) EKI Enterprise would like to use target costing for a new product that is under consideration. At a selling price of RM84 per unit, management estimates sales of 40,000 units. The new product would require an investment of RM400,000. The desired return on investment is 11%. Required:
Determine the target cost per unit for the new product.
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Accounting For Managers Interpreting Accounting Information For Decision Making
Authors: Paul M. Collier
5th Edition
111900294X, 978-1119002949
