Final answer:
The retail price should be $6.32, which is closest to option C $6.00. Therefore, the correct option is C
Step-by-step explanation:
To calculate the retail price, we need to consider the cost of the cough medicine from the wholesaler and the target margin. The cost per case is $492, and there are 98 units per case. So, the cost per unit is $492/98 = $5.02.
The target margin is 26% of the cost. To calculate it, we multiply the cost per unit by 0.26: $5.02 * 0.26 = $1.30.
Finally, we can find the retail price by adding the cost per unit and the target margin: $5.02 + $1.30 = $6.32.
Therefore, the retail price should be $6.32, which is closest to option C $6.00.