Custom Shoes Co.has gathered the following information concerning one model of shoe: $$\begin{array} { l l }
\text { Variable manufacturing costs } & \$ 40,000 \
\text { Variable selling and administrative costs } & \$ 20,000 \
\text { Fixed manufacturing costs } & \$ 160,000 \
\text { Fixed selling and administrative costs } & \$ 120,000 \
\text { Investment } & \$ 1,700,000 \
\text { ROl } & 30 \% \
\text { Planned production and sales } & 5,000 \text { pairs }
\end{array}$$
- What is the desired ROI per pair of shoes?
A)$68
B)$168
C)$102
D)$170

Question

Custom Shoes Co.has gathered the following information concerning one model of shoe: $$\begin{array} { l l } 
\text { Variable manufacturing costs } & \$ 40,000 \
\text { Variable selling and administrative costs } & \$ 20,000 \
\text { Fixed manufacturing costs } & \$ 160,000 \
\text { Fixed selling and administrative costs } & \$ 120,000 \
\text { Investment } & \$ 1,700,000 \
\text { ROl } & 30 \% \
\text { Planned production and sales } & 5,000 \text { pairs }
\end{array}$$ 
- What is the desired ROI per pair of shoes?
A)$68
B)$168
C)$102
D)$170

Quizplus · Accepted Answer

The Answer of Custom Shoes Co.has gathered the following information concerning one model of shoe: $$\begin{array} { l l } 
\text { Variable manufacturing costs } & \$ 40,000 \
\text { Variable selling and administrative costs } & \$ 20,000 \
\text { Fixed manufacturing costs } & \$ 160,000 \
\text { Fixed selling and administrative costs } & \$ 120,000 \
\text { Investment } & \$ 1,700,000 \
\text { ROl } & 30 \% \
\text { Planned production and sales } & 5,000 \text { pairs }
\end{array}$$ 
- What is the desired ROI per pair of shoes?
A)$68
B)$168
C)$102
D)$170

Custom Shoes Co - What Is the Desired ROI Per Pair of Shoes