Cases in Cost Management 3rd Edition by John Shank

Exercise 8

Suppose MSM was considering introducing a new line of low density blankets, the Del Monte (72 × 90 inches, 3.50 pounds, and 84 blankets/unit) with $19.60 in raw materials cost and $2.45 in factory labor cost. What price would MSM need to charge per blanket to earn a normal profit under their current accounting system