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Suggest the Manager of the New Products Division of a mobile phone company about the pricing of new products. ElectrozLtdhasthefollowingdataconcerninga model electric caritmanufactures: Variablemanufacturingcost $45

  1. Suggest the Manager of the New Products Division of a mobile phone company about the pricing of new products.
  2. ElectrozLtdhasthefollowingdataconcerninga model electric caritmanufactures:
  • Variablemanufacturingcost $45
  • Appliedfixedoverhead $15
  • Variablesellingandadministrativecost $ 10
  • Allocatedfixedsellingandadministrativecost $18

Required:

Ifthecompanyusescost-pluspricingbasedonmanufacturingcosts,determinethemark-uppercentageusedbythecompanytoobtainapriceof$150.

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