example 1 : XYZ company had the following information :
target price = 500 per unit
desired profit 10% of cost
required : use market based approach to calculate targeted cost per unit
example 2: XYZ company had the following info :
Variable cost per unit = $320
Total fixed cost = 30,000
units produced = 10,000 units
assets = 2,500,000
return on investment = 10%
calculate the targeted price per unit using cost plus method