Print Item Variable Cost Concept of Product Pricing Voice Com, Inc., produces and sells cellular phones. The costs of producing and selling 4,000 uits of cellular phones are as follows: Fixed costs! Variable costs: Direct materials Direct labor Factory overhead Selling and admin. exp. Total Total variable costs $ 90 per unit Variable cost amount per unit 27 N 22 $180 per unit Volce Com desires a profit equal to a 15% rate of return on invested assets of $630,000. Assume that Voice Com, Inc., uses the variable cost concept of applying the cost-plus approach to product pricing. a. Determine the variable costs and the variable cost amount per unit for the production and sale of 4,000 units of cellular phones. 3 Factory overhead Selling and admin. exp. 33 X incorrect OP Determine the variable cost markup percentage for cellular phones. $201,800 70,900 Determine the selling price of cellular phones. Round to the nearest cent. per phone

Variable Cost Concept of Product Pricing Volce Com, Inc, produces and selis cellutar phones. The costs of producing and seiling 4,000 ufirs of cellutar phones are as follows: Volce Com desires a pront equal to a 15% rate of return on invested assets of $630,000. Assume that voice Com, Inci, uses the variable cost concept of apolyng the cost-plus aporoach to product pricing- a. Determine the varlable costs and the variable cost amount per unit for the production and sale of 4,000 units of cellular phoner. b. Determine the varlabie cast markus percentage for celular phones. C. Determine the seitng price of cetuter phones. Round to the nesrest cenk. 1 per phone