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Wenner Corporation would like to use target costing for a new product it is considering introducing. At a selling price of $44 per unit, management

Wenner Corporation would like to use target costing for a new product it is considering introducing. At a selling price of $44 per unit, management projects sales of 10,500 units. The new product would require an investment of $905,000. The desired return on investment is 10%.

The desired profit according to the target costing calculations is:

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