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Suppose your company is planning to introduce a product on the market. The company estimates the production cost of the product at $135 per unit,
Suppose your company is planning to introduce a product on the market. The company estimates the production cost of the product at $135 per unit, and the product can only be sold for a maximum price of $150 per unit, otherwise customers switch to competitors. Your company wants a profit margin of 15%. What is the cost gap on the product and the amount by which should be adjusted to achieve the desired target cost per unit on the product?
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