Question: Company A is in the process to develop a new dish washer and is in the process to set the right sales price. Use the
Company A is in the process to develop a new dish washer and is in the process to set the right sales price. Use the different cost calculation methods from the lecture to help set the price by calculating minimum sales prices. a. Cost Plus b. Absorption Costing 1. List all the steps in your calculation. Here is what we know: Markup is 100% Investment cost is $1,000,000 ROI requirement 30% Variable Cost $400/unit Fixed manufacturing cost $300/unit . Units to sell: 5,000 first year Sales & Admin cost $70,000/year
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