Question
the More Company have 12% operating income per unit on the sales. price per unit. The managerial . reported that the target price is $750
the More Company have 12% operating income per unit on the sales. price per unit. The managerial . reported that the target price is $750 per unit. 1 Compute the target operating income per unit 2. It" the company would like to have total profit to be $450,000, how many units, would they have to sell given the desired 12% operating income per unit? 3 Compute the target cost per unit at the 12% target operating income per unit. t It the company decided that it needed to earn 15% operating income per unit, what would the new mst per unit have to be, assuming the price is $750? 5. It the mmpany decided that it needed to earn 30% operating income per unit, what would the new cost per unit have to be, assuming the price is $750? 0. lt the company decided it needed to earn a 30% operating income per unit but it realized that the lowest it could reduce per unit costs is $575, what would the new target price have to be to achieve the desired operating profit?
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