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Alway Candy Corporation is implementing a target costing approach for its latest new product, the "Big Glob" candy bar. The following information relates to the Big Glob:
Target cost per candy bar $0.60
Expected annual sales (in units) of candy bars 200,000
Required investment in additional assets $100,000
Desired return on investment 20%
Based on this information, what is Alway's target selling price per bar for the Big Glob?
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