Outdoor Charlie's is introducing a new fishing pole, and is trying to decide what to charge for it. The company has already determined that the optimal markup on the unit product is 50%. Cost information is below:
- Direct materials $10.00 (per unit)
- Direct labor $3.00 (per unit)
- Variable manufacturing overhead $4.00 (per unit)
- Fixed manufacturing overhead $150,000 (total)
- Variable selling and admin. expense $1.00 (per unit)
- Fixed selling and admin. expense $90,000 (total)
Calculate the selling price based on a planned production of 12,000 units. Round to two decimal places.