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HW 13 question 2 part b finding target price ...

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Accounting

HW 13 question 2 part b
image
imagefinding target price
Coronado Products desires to set a target price for its newest product. Information for a budgeted volume of B,000 units is shown below, Coronado Products uses cost-plus pricing and maragement wants a 25\% ROI on the new product. Assets of $1,400,000 are. committed to production of the new aroduct. (a) Your anwer is correct. Compute the markup percentage under wonlable costing that Wal allow Coronado Products its desired ROI. (Round ansaver fo 2 ? decimal ploces, es. 10.50s.) Markup Rercentage Compute the target price of the new product under variable-cost pricing. (Round answer to 2 decimal places, es. 10.50.) Target price

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