Question: The local hardware store is considering a promotion in which it would sell preselected tools for $4 each. The managers are hoping that young adults

The local hardware store is considering a promotion in which it would sell preselected tools for $4 each. The managers are hoping that young adults will come into the store and equip themselves with "the basics." allowing the store's service-oriented staff to teach them how to use each tool. However, the company's profit goals require a contribution margin ratio of at least 60% before any new promotions are approved. The company's current variable cost per unit for these tools is $2.08, and its tax rate is 30%. What is the most this hardware store can pay per unit for these tools if it wants to move forward with this promotion? (Round answer to 2 decimal ploces, e. 15.25.) Variable cost per unit
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