Flyer Company sells a product in a competitive marketplace. Market analysis indicates that its product would probably sell at $48 per unit. Flyer management desires a 12.5% profit margin on sales. Their current full cost for the product is $44 per unit. If the company cannot cut the costs any lower than they already have, what would the profit margin on sales be to meet the market selling price?
a. 9.3%
b. 7.3%
c. 10.3%
d. 8.3%
d. 8.3%
4/48=.083 x 100=8.3
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