Well - Bread Grain Company is a price - taker and uses target pricing. The company has just done an analysis of its revenues, costs, and desired profits and has calculated its target full product cost. Assume all products produced are sold. Refer to the following information: $500,000 per year Target full product cost $260,000 per year Actual fixed cost $2 per unit 151,000 units per year Actual variable cost Production volume Actual costs are currently higher than target full product cost. Assuming that fixed costs cannot be reduced, what is the target variable cost per unit? (Round your answer to the nearest cent.) A. $1.59 B. $1.72 C. $3.31 D. $2.00