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Mellie Computer Devices Inc. is considering the introduction of a new printer. The company's accountant had prepared an analysis computing the target cost per unit but misplaced his working papers. From memory he remember the estimated until sales price was $200 and the target unit cost was $195. Sales were projected at 200,000 unit with a required 5,000,000 investment.

Instructions:
Compute the required minimum rate of return .

Sales
Less target cost
Desired ROI (in dollars)
Investment
Minimum ROI

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M954394

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