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Question) UTS Merchandise Pty Ltd has estimated that the budgeted production and sales of its university...

Question) UTS Merchandise Pty Ltd has estimated that the budgeted production and sales of its university backpacks during the coming year will be 40,000 units at an average price of $60 per unit. Variable manufacturing costs are estimated to be $24 per unit, and variable marketing costs $12 per unit sold. Fixed costs are expected to amount to $360,000 for manufacturing and $144,000 for marketing. If the variable manufacturing costs are 20% higher than budgeted, calculate the selling price that would yield the same profit in the coming year.

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