Grand Corporation believes that there is a market for a portable electronic toothbrush that can be easily carried by business travelers. Grand's market research department has surveyed the features and prices of electronic brushes currently on the market. Based on this research, Grand believes that $74 would be about the right price. At this price, marketing believes that about 79,000 new portable brushes can be sold over the product's life cycle. It will cost about $790,000 to design and develop the portable brush. Grand has a target profit of 15% of sales.

Requirement

1. Determine the total and unit target cost to manufacture, sell, distribute, and service the portable brushes.

Requirement 1. Determine the total and unit target cost to manufacture, sell, distribute, and service the portable brushes.

Begin by computing the total target cost to manufacture, sell, distribute, and service the portable brushes, then compute the unit target cost to manufacture, sell, distribute, and service the portable brushes. (Round all amounts to the nearest cent.)

Total target cost to manufacture, sell,

distribute and service the toothbrushes