Dotterel Corporation Uses the Variable Cost Method of Product Pricing

question 99

Multiple Choice

Dotterel Corporation uses the variable cost method of product pricing. Below is cost information for the production and sale of 35,000 units of its sole product. Dotterel desires a profit equal to an 11.2% return on invested assets of $350,000. ​
-The variable cost per unit for the production and sale of Dotterel's product is

• A)$14.00
• B)$12.60
• C)$9.80
• D)$11.20

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