Vaughn Corporation needs to set a target price for its newly designed product M14-M16. The following data relate to this new product. Per Unit Total Direct materials $24 Direct labor $39 Variable manufacturing overhead $13 Fixed manufacturing overhead $1,520,000 Variable selling and administrative expenses $4 Fixed selling and administrative expenses $880,000 These costs are based on a budgeted volume of 80,000 units produced and sold each year. Vaughn uses cost-plus pricing methods to set its target selling price. The markup percentage on total unit cost is 50%.