Target costing StatPro has just been presented the following market and production estimates on Product X$27,$ which has been under development in the company.

$\backslash$table$[[$Projected market price of X$27,$$$215,\backslash$table$[[($based on $180,000$ life cycle$],[$unit sales over five$-$year life$)]]],[$Projected gross margin per unit $.,35,],[\backslash$table$[[$Estimated selling and administrative costs$],[$per unit $.........................]],40,],[$Estimated production costs,,$],[$Direct material $......................,$$$70,],[$Direct labor. $.........................,40,],[$Variable overhead $........,15,],[$Fixed overhead. $..,$$$360,000$ annually,$]]$

Use the concept of target costing to integrate the marketing and engineering information and interpret the results for StatPro.