Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The predicted 2014 costs for Osaka Motors are as follows: Manufacturing Costs Selling and Administrative Costs Variable $ 100,000 Variable $300,000 Fixed 220,000 Fixed 200,000

image text in transcribed
The predicted 2014 costs for Osaka Motors are as follows: Manufacturing Costs Selling and Administrative Costs Variable $ 100,000 Variable $300,000 Fixed 220,000 Fixed 200,000 Average total assets for 2014 are predicted to be $5,000,000. (a) If management desires a 12 percent rate of return on total assets, what are the markup percentages for total variable costs and for total manufacturing costs? (Round your answer to the nearest whole percent.) Markup on variable costs 0 % Markup on manufacturing costs 0 % (b) If the company desires a 10 percent rate of return on total assets, what is the markup percentage on total manufacturing costs for (1) unassigned costs and (2) desired profit? Note: The markup percentage on total manufacturing costs is 312%. Compute the markup percentage for each component. Note: Round your answers to the nearest whole percent. Markup to cover unassigned costs 0 % Markup to cover desired profit 0 % Sit Previous len Save Answers Next e A he A

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Modern Advanced Accounting In Canada

Authors: Murray Hilton

6th Edition

0070001537, 978-0070001534

More Books

Students also viewed these Accounting questions

Question

Identify the advantages and disadvantages of vertical integration.

Answered: 1 week ago

Question

The quality of the argumentation

Answered: 1 week ago