Question
The predicted 2017 costs for Gamma Motors are as follows: Manufacturing Costs Variable: $250,000 Fixed: $450,000 Selling & Administrative Costs Variable: $600,000 Fixed: $300,000 Average
The predicted 2017 costs for Gamma Motors are as follows:
Manufacturing Costs
Variable: $250,000
Fixed: $450,000
Selling & Administrative Costs
Variable: $600,000
Fixed: $300,000
Average total assets for 2017 are predicted to be $5,000,000.
If the company desires a 10% rate of return on total assets, what is the markup percentage on total manufacturing costs for the desired profit?
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Fundamentals Of Cost Accounting
Authors: William Lanen, Shannon Anderson
2nd Edition
0071332618, 978-0071332613
