Kipskirt Company manufactures a single product: wardrobes. Kipskirt's wardrobes have a unique design that is not replicated by any other wardrobe manufacturer. The company was formed at the beginning of last year with an initial investment of $768,000. Kipskirt requires a 37% annual rate of return on the investment. In total, 9,300 wardrobes were produced and sold last year. For the upcoming year, the production and sales volumes are not expected to change from last year. The following costs are budgeted for the upcoming year:

Per Unit Total (9,300 units)

Direct Materials $79

Direct Labor $79

Variable Manufacturing Overhead $21

Fixed Manufacturing Overhead $186,000

General and Administrative Expenses $387,000

To price their product, Kipskirt uses the cost-plus pricing method. The company has a policy of using the absorption costing method for assigning costs to inventory and the formula method for determining a markup percentage.

Do not enter dollar signs or commas in the input boxes.

Round all answers to 2 decimal places.

a) Determine the budgeted full cost of a wardrobe for the upcoming year.

Full Cost: $Answer

b) Calculate the markup percentage.

Markup Percentage: Answer

%

c) Determine the selling price of a wardrobe for the upcoming year.

Selling Price: $Answer