Question
Tootsie Manufacturing Company has the following budgeted costs for 10,000 units: Variable Costs Fixed Costs Manufacturing $100,000 $50,000 Selling & Administrative 50,000 12,000 Total $150,000
Tootsie Manufacturing Company has the following budgeted costs for 10,000 units:
|
| Variable Costs | Fixed Costs |
| Manufacturing | $100,000 | $50,000 |
| Selling & Administrative | 50,000 | 12,000 |
| Total | $150,000 | $62,000 |
What is the initial selling price needed to obtain a target profit of $100,000 using the variable cost markup method?
| A. | $31.20 | |
| B. | $55.00 | |
| C. | $60.50 | |
| D. | $30.75 |
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Payroll Management 2020 Edition
Authors: Steven M. Bragg
1642210366, 978-1642210361
