Ferguson Co What Is the Selling Price of Product T?
A) $1,200

question 138

Multiple Choice

Ferguson Co. incurs $568,000 in fixed costs while producing three products with the following characteristics: $\begin{array}{llll}& \text { Sales Mix } & \text { Unit Contribution } & \text { Contribution } \\\text { Product } & \text { (Units) } & \text { Margin } & \text { Margin Ratio }\\\mathrm{T} & 5 & \$ 900 & 45 \% \\\mathrm{Q} & 3 & 600 & 40 \% \\\mathrm{R} & 2 & 400 & 35 \%\end{array}$ What is the selling price of Product T?

• A) $1,200
• B) $1,143
• C) $2,000
• D) $1,500

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