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TB MC Qu. 10-115 (Algo) Jaybird Company operates in a highly... Jaybird Company operates in a highly competitive market where the market price for its
TB MC Qu. 10-115 (Algo) Jaybird Company operates in a highly...
Jaybird Company operates in a highly competitive market where the market price for its product is $135 per unit. Jaybird desires a
30% profit per unit. Jaybird expects to sell 5,000 units. Additional information is as follows:
Variable Costs per Unit
Direct materials
Direct labor
Overhead
General and administrative
Fixed Costs (total)
$ 22 Overhead
23 General and administrative
$
45,000
18,000
21
27
To achieve the target cost per unit, Jaybird must reduce total expenses by how much?
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