A New Product, an Automated Crepe Maker, Is Being Introduced

question 34

Multiple Choice

A new product, an automated crepe maker, is being introduced at Boorman Corporation. At a selling price of $72 per unit, management projects sales of 20,000 units. Launching the crepe maker as a new product would require an investment of $700,000. The desired return on investment is 14%. The target cost per crepe maker is closest to:

• A) $72.00
• B) $82.08
• C) $76.49
• D) $67.10

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Definitions:

Miniature

Small, finely detailed artwork, often used to illustrate manuscripts or for portrait paintings, characterized by its meticulous and precise execution on a small scale.

Portrait Size

Refers to the physical dimensions of a portrait artwork, which can range from miniature to life-sized or larger.

Luther's Translation

The translation of the Bible into the German language by Martin Luther, making the scriptures more accessible to the general public during the Reformation.

Genre Painting

Art that depicts scenes from everyday life, including domestic settings, parties, inns, and street scenes.