Sonora, Inc. is launching a new product that it estimates will sell for $85 per unit. Annual demand is estimated to be 94,000 units. Sonora estimates that using its current manufacturing technology, it can manufacture the units for $35 per unit, but if it purchases a new machine, the units can be manufactured for $34 per unit. Sonora has a target profit of 20% return on sales. Under target costing, what is the target cost for the new product? Multiple Choice $35 $34 $85 $68