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Sir could you help me please:
Target selling price = $20
Target Profit margin= 30%
estimated production cost $16 cost per unitwhat is the target cost gap for this product?
I know the answer but don’t know how they got it..
Sir I got it…0.70 x 20= $14
$16- $14.= $2.00
is this correct or even anyone else can help …
Thanks
Yes – the answer is $2.00
(If you want others to help you, you should ask in the ordinary F9 Forum. This forum is Ask the ACCA Tutor and is for me to help 🙂 )
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