Exercise $9-12($Algo$)$ Calculate gross profit, cost of goods sold, and selling price LO $9-2,9-3$

MBI Incorporated had sales of $$41$ million for fiscal $2022.$ The company$$s gross profit ratio for that year was $21\%.$

Required:

Calculate the gross profit and cost of goods sold for MBI for fiscal $2022.$

Assume that a new product is developed and that it will cost $$480$ to manufacture. Calculate the selling price that must be set for this new product if its gross profit ratio is to be the same as the average achieved for all products for fiscal $2022.$

From a management viewpoint, it could use the estimated selling price as a "target" in conducting marketing research studies to assess its ultimate prospects for success at this price.