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Mesa Cheese Company has developed a new cheese slicer called Slim Slicer. The company plans to sell this slicer through its catalog, which it issues monthly. Given market research, Mesa believes that it can charge $25 for the Slim Slicer. Prototypes of the Slim Slicer, however, are costing $24. By using cheaper materials and gaining efficiencies in mass production, Mesa believes it can reduce Slim Slicer's cost substantially. Mesa wishes to earn a return of 39% of the selling price.
(a) Compute the target cost for the Slim Slicer. (Round answer to 2 decimal places, e.g. 10.50.)
Target cost $
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