Question: A buyer placed an initial order with a supplier named Ronco that makes brake assemblies (units). The order was for 100 units at a per-unit

A buyer placed an initial order with a supplier named Ronco that makes brake assemblies (units). The order was for 100 units at a per-unit price of $540. The buyer collected the following cost assumptions about Ronco:

Direct Material Costs $200/unit

Direct Labor Costs $100/unit (5 hours/unit at $20/hour labor rate)

Overhead Costs $150/unit (calculated at 150% of direct labor)

Total Costs of Goods Sold $450/unit

Sellers Profit (20% of total) $90 cost markup

Total price per unit = $540

At 200 units, what should the buyer expect to pay for these units when factoring in an 80% learning curve?

Group of answer choices

$540/unit

$516/unit

$432/unit

$480/unit

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