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To Earn the Target Return on Capital,the Moore Company Needs

Question 33

Multiple Choice

To earn the target return on capital,the Moore Company needs to earn 12% operating income per unit on the total units they need to sell.The managerial accountant reported that the target price is $750 per unit.Compute the target operating income per unit and the target cost per unit.


A) $80 operating income per unit;$650 per unit
B) $90 operating income per unit;$660 per unit
C) $100 operating income per unit;$670 per unit
D) $110 operating income per unit;$680 per unit
E) $120 operating income per unit;$690 per unit

Correct Answer:

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