Alfredo Co The Markup Percentage Is 120

question 12

Multiple Choice

Alfredo Co. has collected the following per unit data: $$\begin{array} { l r l r } \text { Direct labor } & \$ 8 & \text { Variable selling and admin. } & \$ 3 \\\text { Direct materials } & 5 & \text { Fixed overhead }&1 \\\text { Variable overhead } & 4 & \text { Fixed selling and admin. }&7\end{array}$$ The markup percentage is 120%. What is the markup amount under the variable-cost approach?

• A) $21.60
• B) $24.00
• C) $20.40
• D) $33.60

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Definitions:

Moratorium

A period of delay or suspension of activity; in developmental psychology, it refers to a period where individuals are not making any significant decisions regarding their personal identity.

Identity Statuses

The various configurations of identity development in adolescents and adults as theorized by psychologists, including stages of exploration and commitment.

Comfortable

A state of physical or psychological ease, often free from pain or constraint.