Green Thumb operates a commercial plant nursery where it propagates plants for garden centers throughout the region. Green Thumb has $4.4 million in assets. Its yearly fixed costs are S580.000, and the variable costs for the potting soil, container, label, seedling, and labor for each gallon-sized plant total $1.15. GreenThumb's volume is currently 480,000 units. Competitors offer the same quality plants to garden centers for $3.40 each. Garden centers then mark them up to sell to the public for $8 to $11, depending on the type of plant. Read the requirements. Requirements - Requirement 1. GreenThumb owners want to earn a 13% return on the company's assets. What is GreenThumb's target full cost? Calculate the target full cost for GreenThumbs. Select the formula labels and enter the amounts. Less: Target full cost Requirement 2. Given Green Thumb's current costs, will its owners be able to achieve their target profit? Show your analysis. 1. GreenThumb owners want to cam a 13% return on the company's assets. What is Green Thumb's target full cost? 2. Given Green Thumb's current costs, will ils owners be able to achieve their target profit? Show your analysis 3. Assume that Green Thumb has identified ways to cut its variable costs to $1.00 per unit. What is its new target fixed cost? Will this decrease in variable costs allow the company to achieve its target profit? Show your analysis 4. Green Thumb started an aggressive advertising campaign strategy to differentiate its plants from those grown by other nurseries. GreenThumb doesn't expect volume to be affected, but it hopes to gain more control over pricing. If Green Thumb has to spend $120,000 this year to advertise and its variable costs continue to be $1.00 per unit, what will its cost-plus price be? Do you think Green Thumb will be able to sell its plants to garden centers at the cost-plus price? Why or why not? Calculate Green Thumb's current total full cost Select the formula labels and enter the amounts. Total full cost ( Print Done ils target full cost. Green Thumb Green Thumb's current total full costs of meet the owner's profit expectations. Requirement 3. Assume that GreenThumb has identified ways to cut its variable costs to $1.00 per unit. What is its new target fixed cost? Will this decrease in variable costs allow the company achieve its target profit? Show your analysis Target full cost Less: Reduced level of variable costs Time Remaining: 02:59:17 Next