Stardom, Inc. cans peaches for sale to food distributors. In 2014 Stardom, Inc. sold the peaches by the gross (144 pounds of peaches is equivalent to a gross or one unit of peaches) and ended up selling 15,000 units. The full cost per unit is $200. Stardom plans on a 20% return on an investment of $1,800,000 in 2014. REQUIRED: 1. Calculate the selling price and the markup percentage on the full cost per unit of peaches in 2014. 2. If the selling price in requirement 1 represents a markup percentage of 40% on variable cost per unit, calculate the variable cost per unit of peaches in 2014. 3. Calculate Stardoms operating income if it had increased the selling price to $230. At this price Stardom would have sold 13,500 units of peaches. Assume no change in total fixed costs. Should Stardom increase the selling price of peaches to $230? Explain. 4. In response to competitive pressures, Stardom must reduce the price of Peaches to $210 in 2015 in order to achieve sales of 15,000 units. Stardom plans to reduce its investment to $1,650,000. If Stardom wants to maintain a 20% return on investment, what is the target cost per unit in 2015?