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Malfoy has the following information available: Direct Materials $18.00 per unit; Direct labor $32.00 per unit; Variable Overhead $6.00 per unit; Variable Selling & Administrative

Malfoy has the following information available: Direct Materials $18.00 per unit; Direct labor $32.00 per unit; Variable Overhead $6.00 per unit; Variable Selling & Administrative $4.00 per unit; Fixed overhead costs $600,000 annually; and fixed selling and administrative costs $150,000 annually. Selling price is $80.00 per unit. If Malfoy would like to have $400,000 of net income, but can only sell 50,000 units, by what amount would the current selling price of $80 have to be increased (be sure to enter just the amount of the increase)?

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