Pinkin Incorporated needs to determine a price for a new phone model. Pinkin desires a 25% markup on the total cost of the phone. Pinkin expects to sell 30,000 phones. Additional information is as follows:

Variable Costs per Unit		Fixed Costs (total)
Direct materials	$ 23	Overhead	$ 85,000
Direct labor	48	General and administrative	65,000
Overhead	28
General and administrative	58

Using the total cost method what price should Pinkin charge?

Multiple Choice

• $182.50

• $170.10

• $202.50

• $201.25

• $196.10