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Question 7 Caan Corporation produces industrial robots for high-precision manufacturing. The following information is given for Caan Corporation: Total Per Unit Direct materials $395 Direct
Question 7 Caan Corporation produces industrial robots for high-precision manufacturing. The following information is given for Caan Corporation: Total Per Unit Direct materials $395 Direct labour Variable manufacturing overhead Fixed manufacturing overhead Variable selling and administrative expenses 55 Fixed selling and administrative expenses 295 75 $1,612,800 281,600 The company has a desired ROI of 15%. It has invested assets of $51,200,000. It expects to produce 2,560 units each year. (a) Your answer is correct. Calculate the cost per unit of the fixed manufacturing overhead and the fixed selling and administrative expenses. 630) per unit Fixed manufacturing overhead per unit Fixed selling and administrative $ (b) Your answer is correct. Calculate the desired ROI per unit. Desired ROI SL 3000 per unit SHOW SOLUTION LINK TO TEXT (c) Calculate the target selling price. Target selling price $ LINK TO TEXT
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