54. The projected sales price for a new product (which is still in the development stage of the
product life cycle) is P50. The company has estimated the life-cycle cost to be P30 and the
first-year cost to be P60. On this type of product, the company requires a P12 per unit
profit. What is the target cost of the new product?
a. P60 c. P38
b. P30 d. P43
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