The Management of Rispoli Corporation Is Considering Introducing a New

Multiple Choice

The management of Rispoli Corporation is considering introducing a new product-a compact lawn blower.At a selling price of $38 per unit, management projects sales of 10, 000 units.The lawn blower would require an investment of $700, 000.The desired return on investment is 11%. The target cost per lawn blower is closest to:

A) $33.63
B) $30.30
C) $38.00
D) $42.18