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. Compute the target prices for the three pump models, based on the traditional, volume-based...

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Accounting

. Compute the target prices for the three pump models, based on the traditional, volume-based product-costing system. 2. Compute new product costs for the three products, based on the new data collected by the controller. Round to the nearest cent. 3. Calculate a new target price for the three products, based on the activity-based costing system. Compare the new target price with the current actual selling price for the regular model pump. 4. Write a memo to the company president explaining what has been happening as a result of the firm's traditional volume-based product-costing system. 5. What strategic options does management have? What do you recommend, and why?

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