Requirements 1. Green Thumb owners want to earn a 13% return on the company's assets. What is Green Thumb's target full cost? 2. Given Green Thumb's current costs, will its owners be able to achieve their target profit? Show your analysis. 3. Assume that Green Thumb has identified ways to cut its variable costs to $1.45 per unit. What is its new target fixed cost? Will this decrease in variable costs allow the company to achieve its target profit? Show your analysis. 4. Green Thumb started an aggressive advertising campaign strategy to differentiate its plants from those grown by other nurseries. Green Thumb doesn't expect volume to be affected, but it hopes to gain more control over pricing. If Green Thumb has to spend $40,000 this year to advertise and its variable costs continue to be $1.45 per unit, what will its cost-plus price be? Do you think Green Thumb will be able to sell its plants to garden centers at the cost-plus price? Why or why not?