Young Corporation Is in the Design Phase for a Voice-Activated

Young Corporation is in the design phase for a voice-activated remote control for home electronic devices. Its market analysis indicates that the planned device can be sold at a price of $150 per unit. The company has determined that a 30% profit on the product will allow it to recover the costs of development and production, and provide an adequate return on capital. Under these circumstances, the target cost for the remote control is:

A) $105
B) $45
C) $60
D) The difference between $105 and the estimated actual cost of producing the product.