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5. Karate Auto Supply Inc. is a producer and distributor of auto supplies. The company...

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5. Karate Auto Supply Inc. is a producer and distributor of auto supplies. The company desires to enter a rapidly growing market for long-life batteries that is based on a newly discontinued technology. Management believes that to be fully competitive, the new batteries that the company is planning cannot be priced at more than 1300. At this price, management is confident that the company can sell 12500 batteries per year. The batteries would require permanent investment of P5000,000 and the desired ROI is 20%. Compute the target cost of one battery. 6. ABC company has the following financial sales data for the month: Actual data sales price/unit 95 Quantity 1200 Expected data sales price/unit 100 Quantity 1000 Required: Sales price variance Sale volume variance Sales variance

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