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Builders builds 1 , 5 0 0 - square - foot starter tract homes in the fast - growing suburbs of Miami. Land and labor

Builders builds1,500-square-foot starter tract homes in the fast-growing suburbs of Miami. Land and labor are inexpensive, and competition among developers is fierce. The homes are "cookie-cutter," with any upgrades added by the buyer after the sale. Sesnie Builders' costs per developed sublot are as follows: View the costs.LOADING... Sesnie Builders would like to earn a profit of 15% of the variable cost of each home sale. Similar homes offered by competing builders sell for $ 205 comma 000 each. Read the requirements.LOADING... Question content area bottom Part 1 Requirement 1. Which approach to pricing should Sesnie Builders emphasize? Why? Sesnie will need to emphasize a cost-plus target-costing approach to pricing. Because the tract homes are not unique and face unique and do not face stiff competition, Sesnie will have a lot of not have much control over pricing.

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