Question
E8.20 (LO 5), AP Information for Gibbs Corporation is given in E8.7. Compute various amounts using absorption-cost pricing and variable-cost pricing. Instructions Using the information
E8.20 (LO 5), AP Information for Gibbs Corporation is given in E8.7. Compute various amounts using absorption-cost pricing and variable-cost pricing. Instructions Using the information given in E8.7, answer the following. a. Compute the cost per unit of the fixed manufacturing overhead and the fixed selling and administrative expenses. b. Compute the desired ROI per unit. (Round to the nearest dollar.) c. Compute the markup percentage and target selling price using absorption-cost pricing. (Round the markup percentage to three decimal places.) d. Compute the markup percentage and target selling price using variable-cost pricing. (Round the markup percentage to three decimal places.)
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