Question: Davis company has $20.00 per unit in variable costs and $800,000 per year in fixed costs. Demand is estimated to be 400,000 units per year.

Davis company has $20.00 per unit in variable costs and $800,000 per year in fixed costs. Demand is estimated to be 400,000 units per year. What is the desired price per unit if a markup of 30% on total cost is used to determine the price?

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