CSLO-C08-ADI08-1

Maize Water is considering introducing a water filtration device for its 20-ounce water bottles. Market research indicates that 1000000 units can be sold if the price is no more than $3. If Maize Water decides to produce the filters, it will need to invest $2000000 in new production equipment. Maize Water requires a minimum rate of return of 14% on all investments. Determine the target cost per unit for the filter. (Round answer to 2 decimal places, e.g. 10.50.)

Target cost per unit

$ __________________

Wata s cons daring traducinga asar filtration device for its 20 ounce Mar indiatas that 2000000 units can be sold the prie a no mar" than S3. f Mada war di bes it vil niid t0 invast O ih ne productio L Maili w ras minimum fara of asar boelei at esaare des so oduca t as us tar ua of 14% oral martments Determns thq target cost per unit for thg fitar (Roundanwerto 2 derna, places, ea. 10.5 araat cost par unit $