YWN uses a target costing system and is launching a new product. The company has estimated that the selling price will be Y$100 per unit, and has set a mark-up on cost of 25%. Material will cost Y$50 per unit and each unit will require five hours of labour. In order to achieve the target cost, what is the maximum YWN can pay per labour hour?

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To determine the maximum YWN can pay per labor hour in order to achieve the target cost we need to c... View the full answer