Rios Co. makes drones and uses the variable cost approach in setting product prices. Its costs for producing 20,000 units follow. The company targets a profit of $300,000 on this product. Variable Costs per Unit Fixed Costs Direct materials Direct labor Overhead Selling $70Overhead 40 25 15 Selling Administrative $670,000 305,000 285,000 1. Compute the variable cost per unit 2. Compute the markup percentage on variable cost. 3. Compute the product's selling price using the variable cost method