Question
Tarjee World View is considering production of a lighted world globe that the company would price at a markup of 20 percent above full cost.
Tarjee World View is considering production of a lighted world globe that the company would price at a markup of 20 percent above full cost. Management estimates that the variable cost of the globe will be $70 per unit and fixed costs per year will be $240,000.
(a) DONT NEED A ANSWERED ONLY NEED B ANSWER HELP THANKS!
Your answer is correct.
Assuming sales of 1,200 units, what is the full cost of a globe, and what is the price with a 20 percent markup?(Round answers to 2 decimal places, e.g. 15.25.)
Full cost of globe$ 270 is the correct answer
Price with 20 percent markup$ 324 is the correct answer
ANSWER B PLEASE >>>>>>>>>>>>>
(b) Assume that the quantity demanded at the price calculated in part a is only 600 units. What is the full cost of the globe, and what is the price with a 20 percent markup?(Round answers to 2 decimal places, e.g. 15.25.) Full cost of a globe$____________ Price with 20 percent markup$_______________
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