Product Pricing: Single Product Assume that you plan to open a Pinkberry franchise at a local shopping mall. Fixed operating costs for the year are projected to be $144,500. Variable costs per serving include the cost of the ice cream and cone, $1.50, and a franchise fee payable to Pinkberry, $0.20. A market analysis prepared by Pinkberry indicates that annual sales should total 130,000 servings. Determine the price you should charge for each serving to achieve a $125,000 pretax profit for the year. Round answer to two decimal places. $ 0 price per cone Target Costing Assume Champion Power Equipment wants to develop a new log-splitting machine for rural homeowners. Market research has determined that the company could sell 7,500 log-splitting machines per year at a retail price of $1,200 each. An independent catalog company would handle sales for an annual fee of $12,000 plus $75 per unit sold. The cost of the raw materials required to produce the log-splitting machines amounts to $200 per unit. If company management desires a return equal to 30% of the final selling price, what is the target conversion and administrative cost per unit? Hint: The target unit cost will only or should only include conversion costs and remaining or additional sales and administrative costs. Round answer to two decimal places. $ 0