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Victor's Detailing Customers Would Be Willing to Pay $57 Per

Question 148

Multiple Choice

Victor's Detailing customers would be willing to pay $57 per detail. The average job would cost $30.
-Refer to the Figure.Assume Victor's Detailing uses target costing.The company requires a 40% profit on each job.Which of the following should Victor's Detailing do?


A) reduce the required percentage to stay in business
B) ask customers to pay more
C) sell services at the price customers are willing to pay
D) find a way to reduce costs

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