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What price will toyota establish for the camry

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Question - Toyota Motor Corporation uses target costing. Assume that Toyota marketing personnel estimate that the competitive selling price for the Camry in the upcoming model year will need to be $28,000. Assume further that the Camry's total unit cost for the upcoming model year is estimated to be $23,200 and that Toyota requires a 20% profit margin on selling price (which is equivalent to a 25% markup on total cost).

What price will Toyota establish for the Camry for the upcoming model year?

Reference no: EM132102537

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