a | Desired Profit = 25% of invested assets = 25% X 578,016 = $ 144,504 |
b | Total
Costs Variable = 180 X 8,000 = $ 1,440,000 Fixed = 256,000 + 88,000 = $ 344,000 Total = $ 1,784,000 Per unit cost = 1,784,000 / 8,000 = $ 223 per unit |
c | Markup
per unit = 144,504 / 8,000 = $ 18.063 Markup percentage - 18.063 / 223 = 8.1% |
d | Selling price = 223 + 18.063 = $ 241.063 |
Total Cost Concept of Product Costing Willis Products Inc. uses the total cost concept of applying...
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