Nance Corporation is about to introduce a new product The following costs would be cured if 44,000 units are produced and sold each year Variable production costs Fixed production costs Variable selling and administrative costs Fixed selling and administrative cost Por Unit Total $11 $454,000 $9 $596,000 $3 $133,000 $5 $220,000 Nance Corporation uses the absorption costing approach to cost plus rieng as described in the text Assume that the company has not yet determined a markup to use on the new product. The new product would require an vivestment of $1480.000. The company requires a 30%tute of return on investment in new products. The markup under the absorption costing approach would be closest to Multiple Choice 005 O 632 505