Delovinde Corporation uses the absorption costing approach to cost-plus pricing as described in the text to set prices for its products. Based on budgeted sales of 30,000 units next year, the unit product cost of a particular product is $61.60. The company's selling and administrative expenses for this product are budgeted to be $385,200 in total for the year. The company has invested $380,000 in this product and expects a return on investment of 9%. The markup on absorption cost for this product would be closest to: (Do not round intermediate calculations.)

Multiple Choice

• 22.7%

• 9.0%

• 20.8%

• 19.0%