Case Study 2: Success Electronics LLC is planning to introduce a low cost smart phone with attractive features. The market research information suggests that the product should sell 2000 units at RO...

Extracted text: Case Study 2: Success Electronics LLC is planning to introduce a low cost smart phone with attractive features. The market research information suggests that the product should sell 2000 units at RO 30 per unit. The company seeks to make a mark-up of 20% product cost. It is estimated that the lifetime costs of the product will be as follows: Design and development costs RO 5000 Manufacturing costs RO 22 per unit End of life costs RO 7000 Based on the above case, answer the following THREE questions: What is target cost per unit to achieve the desired profit? O a. RO 24 per unit O b. RO 20 per unit O. RO 25 per unit O d. RO 22 per unit


Extracted text: What is the desired profit per unit? O a. RO 10 per unit O b. RO 5 per unit O. RO 15 per unit O d. RO 6 per unit What is the original lifecycle cost per unit and is the product worth making on that basis? O a. RO 24 per unit; The product is worth making O b. RO 28 per unit; The product is not worth making O. RO 23 per unit; The product is worth making O d. RO 29 per unit; The product is not worth making