Airflow Company sells a product in a competitive marketplace. Market analysis indicates that their product would probably sell at $28 per unit. Airflow management desires a profit equal to a 20% rate of return on invested assets of $1,400,000. They anticipate selling 70,000 units. Their current full cost per unit for the product is $25 per unit. What is the amount of profit per unit?
A) $1
B) $2
C) $4
D) $8
C
Business
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