Densely Company, which produces and sells a small digital clock, bases its pricing strategy on a 25 percent markup on total cost. Based on annual production costs for 17,000 units of product, computations for the sales price per clock follow. Unit-level costs $ 408,000 Fixed costs 68,000 Total cost (a) 476,000 Markup (a 0.25) 119,000 Total sales (b) $ 595,000 Sales price per unit (b 17,000) $ 35 Required Hensely has excess capacity