Q10. McGill Pty Ltd (McGill) has decided to adopt the target-costing approach for all new products. The following data for a new product has been made available by the company's design department: Forecast annual sales volume (in units) 100 000 Target selling price per unit $300.00 Desired profit margin per unit as a percentage of selling 20% price Expected standard cost per unit $260.00 For McGill's to achieve the desired profit margin per unit, what reduction in per unit cost will the design department need to achieve through the value engineering process? A) $20 B) $40 C) $52 D) $60