Your company has developed a new coffee maker and branded it as the Cof-Make. It has the unique attribute of converting the solar energy to heat and keep the liquid content of the Cof-Make warm until the last drop is consumed. It will be mass marketed to everybody. You have established a production capacity of 2,000 units but are now producing 1,000 units for a test market in Washington State. You would like to see consumer reactions to your new product. You need to set a price, using the cost-plus method. The following is a set of data, which you need for your price- setting task: Assets Employed: $20,000 Desired Rate of Return On Investment (ROI): 30% Production Capacity: 2,000 units Current Production: 1,000 units Variable Costs: Production: Direct Material: $4.00 Direct Labor: $3.00 Direct Overhead: $1.00 Marketing: Packaging $3.00 Fixed Costs (for all units of Current Production) R&D Costs (all fixed): $1,000 Production $5,000 (depreciation charges) Marketing Fixed Cost: $2,000 (advertising) Financing Fixed Cost: $1,000 (interest on loans) Administration Fixed Cost: $3,000 (salaries) Desired Profit: 30% ROI (Return On Investment = Assets Employed) The going rate price for a comparable Cof-Make is $32.00 $32.00 O $11.00 O $23.00 O $29.00 O $34.12