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The chief engineer at Wilson Electronics has proposed the production of a digipad to be sold at a 30 percent markup. Management estimates that the
The chief engineer at Wilson Electronics has proposed the production of a digipad to be sold at a 30 percent markup. Management estimates that the fixed costs per year will be $150,000 and the variable cost of the digipad will be $28 per unit. If Wilson sells 30,000 digipads, how much is the selling price of each digipad? (. $33.00 B $36.40 C $42.90 . 0 0 $9.90 Question 10 5 Points Which one of the following is a goal of activity-based pricing? A To charge customers for the costs that they are creating B To increase profits by charging all customers at higher prices C) To maintain all customers in the customer base D To broaden market share Question 11 5 Points A custom yacht-building company uses activity-based pricing. The company's annual activity pools and related information follow: Cost Pool Estimated Cost Design $2,500,000 Production 4,000,000 Customer service 80,000 Cost Driver Number of designs Labor hours Number of customers Driver Quantity. 80 designs 125,000 labor hours 20 customers The pricing structure is to charge customers for the cost of the services that are provided. One particular customer requested 2 different designs which led to the production of one yacht which took 2,400 labor hours to complete. What additional costs will be charged to this customer? A $112,050 B $139,300 C $143,300 D) $108,050
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