Custom Shoes Co - What Is the Target Selling Price Per Pair of of Shoe

Multiple Choice

Custom Shoes Co.has gathered the following information concerning one model of shoe: $$\begin{array} { l l } \text { Variable manufacturing costs } & \$ 40,000 \\\text { Variable selling and administrative costs } & \$ 20,000 \\\text { Fixed manufacturing costs } & \$ 160,000 \\\text { Fixed selling and administrative costs } & \$ 120,000 \\\text { Investment } & \$ 1,700,000 \\\text { ROl } & 30 \% \\\text { Planned production and sales } & 5,000 \text { pairs }\end{array}$$
- What is the target selling price per pair of shoes?

A) $142
B) $170
C) $114
D) $158