Question: Example 3: Hewlett plc is about to launch a new product on which it requires a pre-tax ROI of 30% p.a. building and equipment needed

Example 3: Hewlett plc is about to launch a new product on which it requires a pre-tax ROI of 30% p.a. building and equipment needed for production will cost $5000000.The expected sales are 40000 units p.a. at a selling price of $67.50 p.u. Calculate the target cost.*

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