Johnson Marine has the following costs and expected sales for the coming year. Johnson is considering a number of different methods to determine the price of its product.

	Total Costs
Variable Manufacturing	$2,350,000
Variable Selling and Administrative	750,000
Plant-level Fixed Overhead	1,200,000
Fixed Selling and Administrative	600,000
Batch-level Fixed Overhead	200,000
Total Investment in Product Line	10,000,000
Expected Sales (units)	20,000

If Johnson determines price using a 40% markup of full manufacturing cost, the price is:

$262.50

$306.00

$375.00

$364.29

$330.00