National Corporation needs to set a target price for its newly designed product M14M16. The following data relate to this new product.

		Per Unit			Total
Direct materials		$24
Direct labor		$39
Variable manufacturing overhead		$13
Fixed manufacturing overhead					$1,520,000
Variable selling and administrative expenses		$ 4
Fixed selling and administrative expenses					$ 880,000

These costs are based on a budgeted volume of 80,000 units produced and sold each year. National uses cost-plus pricing methods to set its target selling price. The markup percentage on total unit cost is 50%.

Compute the total variable cost per unit, total fixed cost per unit, and total cost per unit for M14M16.

Variable cost per unit		$
Fixed cost per unit
Total cost per unit		$

Compute the desired ROI per unit for M14M16.

Desired ROI

$

per unit

Compute the target selling price for M14M16.

Target selling price per unit

$

Compute variable cost per unit, fixed cost per unit, and total cost per unit assuming that 60,000 M14M16s are produced and sold during the year.

Variable cost per unit		$
Fixed cost per unit
Total cost per unit		$