Dream Company has predicted the following costs for this year for 100,000 units of their product.

	Manufacturing	Selling and Administrative
Variable	$1,600,000	$ 400,000
Fixed	2,400,000	1,200,000
Total	$4,000,000	$1,600,000

Required:

A.What is the markup on variable costs needed to achieve a target profit of $250,000?

B.What is the initial unit selling price needed to obtain a target profit of $250,000 using the variable cost markup method?

C.What is the manufacturing cost markup needed to obtain a target profit of $250,000?

D.What is the initial unit selling price needed to obtain a target profit of $250,000 using the manufacturing costs markup method?