Figure 10-3
Farr Company Had the Following Information -Refer to Figure 10-3

question 9

Multiple Choice

Figure 10-3
Farr Company had the following information: $\begin{array}{lcc}\text { Revenues } & & £ 400,000 \\\text { Cost of goods sold: } &£ 100,000 & \\\text { Direct materials } & 50,000\\ \text { Overhead } & 50,000 & 200,000 \\ \text { Gross profit } & & £ 200,000 \\\text { Selling and administrative expenses } & & 75,000 \\ \text { Operating income } & & £ 125,000 \\\end{array}$
-Refer to Figure 10-3. What is the mark up based on prime costs?

• A)300.0%
• B)133.3%
• C)50.0%
• D)166.7%

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Definitions:

Political/legal Change

Alterations in the political or legal environment that can impact businesses, economies, and societies.

Economic Change

Alterations in the structure or performance of an economy, often driven by factors such as technological advancements, policy changes, or market dynamics.

Maritime Engineering

A branch of engineering that deals with the design, construction, maintenance, and operation of ships and other maritime vessels.

Consumer Tastes

Preferences and demands of consumers which influence product design and marketing strategies.