1. Couple Company uses a target-costing approach to establish the product price amd provides the following information:

Production volume	600,000	units per year
Market price	$32	per unit
Desired operating income	17%	of total assets
Total assets	$13,700,000

What is the desired profit for the year?

Select one:

A.

$2,329,000

B.

$5,500,000

C.

$102,000

D.

$19,200,000