Twilight Lumina Company recently began production of a new product, the halogen light, which required an investment of $1,620,000 in assets. The costs of producing and selling 8,100 halogen lights are estimated as follows:

Variable costs per unit:			Fixed costs:
Direct materials	$81		Factory overhead	$324,000
Direct labor	18		Selling and admin. exp.	162,000
Factory overhead	36
Selling and admin. exp.	32
Total	$167

Twilight Lumina Company is currently considering establishing a selling price for the halogen light. The president of Twilight Lumina Company has decided to use the cost-plus approach to product pricing and has indicated that the halogen light must earn a 20% rate of return on invested assets.

Required:

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Note: Round all percentages to two decimal places then use in subsequent computations, if applicable. Round all dollar amounts to the nearest dollar.

1. Determine the amount of desired profit from the production and sale of the halogen light.