Largo, Inc., which uses a volume-based cost system, produces cat condos, and has a gross profit margin of 25%. Direct materials cost $21 per unit, and direct labor costs $13 per unit. Manufacturing overhead is applied at a rate of 240% of direct labor cost. Nonmanufacturing costs are $33 per unit. How much does each cat condo sell for?

Multiple Choice

• $47

• $141

• $69

• $87