Information for Pargo Corporation is given in E22-7.

Instructions
Using the information given in E22-7, answer the following.
  (a) Compute the cost per unit of the fixed manufacturing overhead and the fixed selling and administrative expenses.
  (b) Compute the desired ROI per unit.
  (c) Compute the markup percentage and target selling price using absorption-cost pricing.
  (d) Compute the markup percentage and target selling price using variable-cost pricing.

Data Form Exercise 22-7:

Pargo Corporation produces industrial robots for high-precision manufacturing. The following information is given for Pargo Corporation.

                                    

The company has a desired ROI of 20%. It has invested assets of $51,000,000. It anticipates production of 3,000 units per year.

Instructions
  (a) Compute the cost per unit of the fixed manufacturing overhead and the fixed selling and administrative expenses.
  (b) Compute the desired ROI per unit.
  (c) Compute the target selling price.