Willis Products Inc. uses the product cost concept of applying the cost-plus approach to product pricing. The costs of producing and selling 5,000 units of medical tablets are as follows: Variable costs per unit: Fixed costs: Direct materials $120 Factory overhead $205,000 Direct labor 44 Selling and admin, exp. 70,000 Factory overhead 37 . Selling and admin. exp. 29 Total $230 Willis Products desires a profit equal to a 20% rate of return on invested assets of $440,750. a. Determine the total manufacturing costs for the production and sale of 5,000 units. Total Manufacturing Costs 1,005,000 Variable Fixed factory overhead 205,000 Total 1,210,000 Determine the cost amount per unit for the production and sale of 5,000 units. 242 per unit b. Determine the product cost markup percentage per unit. Round your percentage answer to one decimal place. 7.4 X % Check My Work Previous Next