Unique Items Inc. has developed a new office product. The firm has conducted significant market research and estimated the following pattern for sales of the new product:

The firm wants to net a minimum of \(\$ 4.00\) per unit in profit over the product's life, and selling and administrative expenses are expected to average \(\$ 45,000\) per year. Calculate the life cycle target cost per unit to produce the new product.

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Year Expected Volume Expected Price per Unit 1.... 15,000 $15.00 2.... 32,000 18.00 3. 58,000 20.00 4... 62,000 20.00 5. 20,000 10.00