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	$ 15	Overhead	$ 85,000
Direct labor	40	General and administrative	65,000
Overhead	20
General and administrative	50

Using the total cost method what price should Pinkin charge?

Select one:

a.$156.10

b.$162.50

c.$130.10

d.$142.50

e.$161.25