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MyPhone, Inc. uses the product cost method of applying the cost-plus approach to product pricing. The costs of producing and selling 5,300 cell phones are

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image text in transcribed MyPhone, Inc. uses the product cost method of applying the cost-plus approach to product pricing. The costs of producing and selling 5,300 cell phones are as follows: Variable costs per unit: Direct materials $68 Direct labor 36 Factory overhead 25 Selling and administrative expenses 22 Total variable cost per unit $151 Fixed costs: Factory overhead $199,100 Selling and administrative expenses 69,700 MyPhone desires a profit equal to a 16% return on invested assets of $598,600. a. Determine the amount of desired profit from the production and sale of 5,300 cell phones. $95,776 b. Determine the product cost per unit for the production of 5,300 cell phones. Round your answer to the nearest whole dollar. $151.42x per unit c. Determine the product cost markup percentage for cell phones. Round your answer to two decimal places. 36% d. Determine the selling price of cell phones. Round your answers to the nearest whole dollar. Total Cost per unit Markup per unit Selling price he bases to be used in allocating expenses, together with other information, are as follows: advertising expense-incurred at headquarters, allocated to divisions on the basis of usage: Winter Sports Division, $433,000; Summer Sports Division, $489,000. . Transportation expense-allocated to divisions at a rate of $12 per bill of lading: Winter Sports Division, 14,800 bills of lading; Summer Sports Division, 16,300 bills of lading. Provide supporting computations for support department allocations. If required, round per unit amounts to two decimal places and final answers to the nearest dollar. Chamnionshin Snorts Inc

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