I also need to find C. Where it asks to evaluate the three engineering improvements together to determine if the required cost reduction(drift) can be achieved. Do not round interim calculations but round your final answers to two decimal places.

Print Item Target Costing Instant Image Inc. manufactures color laser printers. Model 120 presently sells for $460 and has a product cost of $230, as follows: Direct materials Direct labor Factory overhead Total $175 40 15 $230 itis estimated that the competitive selling price for color laser printers of this type will drop to $400 next year. Instant image has estabilisheda target cost to maintain its historical markup percentage on product cost. Engineers have provided the following cost-reduction ideas 1. Purchase a plastic printer cover with snap-on assembly, rather than with screws. This will reduce the amount of direct labor by 15 minutes per unit. 2. Add an inspection step that will add six minutes per unit of direct labor but 3. Decrease the cyde time of the injection reduce the materials cost by $20 per unit. molding machine from four minutes to three minutes per part. Forty percent of the direct labor and 48% of the factory overhead are related to running injection molding machines. The direct labor rate is $30 per hour a. Determine the target cost for Model 120, assuming that the historical markup on product cost and selling price are maintained. X per unit b. Determine the required cost reduction per unit c. Evaluate the three engineering improvements together to determine if the required cost reduction (drift) can be achieved. Do not round interim calculations but round your final answers to two decimal places DOLL PrtSer Insert Delete F11 8 9 7