Question
The following costs have been estimated based on sales of 30,200 units: Total Annual Costs Percent That Is Variable Direct materials $ 308,800 100 %
The following costs have been estimated based on sales of 30,200 units:
| Total Annual Costs | Percent That Is Variable | ||||
| Direct materials | $ | 308,800 | 100 | % | |
| Direct labor | 252,000 | 100 | % | ||
| Manufacturing overhead | 252,000 | 50 | % | ||
| Selling and administrative | 152,000 | 25 | % | ||
What selling price (rounded to two decimal places) will yield a contribution margin of 40%?
Multiple Choice
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$60.00
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$44.17
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$40.00
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$33.67
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Financial Accounting
Authors: Charles Horngren, William Thomas, Walter Harrison, Greg Berberich, Catherine Seguin
5th Canadian edition
133472264, 978-0133446265, 133446263, 978-0133472264
