The Desired Profit According to the Target Costing Calculations Is

question 26

Multiple Choice

The desired profit according to the target costing calculations is:

• A)$420,000
• B)$50,400
• C)$48,000
• D)$372,000

---

Definitions:

Issued Stock

Shares of a company that have been allocated and distributed to shareholders.

Preemptive Right

This is a shareholder's right to buy new shares in proportion to their current holdings before the shares are offered to the public, helping to maintain their ownership percentage.

Par Value

The nominal or face value of a bond, share of stock, or other financial instrument, as stated by the issuing company.

Par Value

A nominal value assigned to share certificates, bond certificates, or currency, which has little bearing on its market value.